PPM Expands its Natural Gas Storage Business
PORTLAND, Ore. — PacifiCorp Power Marketing, Inc. (PPM) today announced an expansion of its natural gas storage business. ENSTOR, a division of PacifiCorp Energy Canada, Ltd., recently purchased Dominion Canada's 40 percent interest in the Alberta Hub natural gas storage facility in Alberta, Canada.
"ENSTOR is now offering storage services at the facility, an excellent platform for our gas storage business in the Western half of North America," said Terry Hudgens, PPM's CEO. "Market conditions in the gas business present an opportunity for growth for PPM and hub services provide flexibility for customers."
The Alberta hub is a major underground gas storage facility located 80 miles west of Edmonton, Alberta. It is connected to the largest pipeline in the province, which is operated by TransCanada Pipelines Limited. The storage facility currently serves about 20 customers -- including producers, utilities, natural gas marketing companies and end users -- in Western Canada and the Western U.S. The Alberta Hub Joint Venture is owned by PacifiCorp Energy Canada, Ltd., Texaco Canada Petroleum Inc., and Unocal Canada Alberta Hub Limited.
Traditionally, the primary role of gas storage has been to smooth natural gas production between peak and off-peak seasons by providing storage in the summer when demand and prices are low and returning the gas to market in the winter when demand and prices are high.