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FLORIDA GAS TRANSMISSION FILES TO CONSTRUCT MAJOR PIPELINE EXPANSION PROJECT

               FLORIDA GAS TRANSMISSION FILES TO CONSTRUCT
                    MAJOR PIPELINE EXPANSION PROJECT
    HOUSTON, Nov. 15 /PRNewswire/ -- Citrus Corp.'s Florida Gas Transmission Company today filed an application with the Federal Energy Regulatory Commission (FERC) for approval to construct the major pipeline expansion project announced on Sept. 10.  The application proposes to increase the pipeline's capacity by as much as 875 million cubic feet per day (MMcf/d) of natural gas.
    The expansion is designed to meet greatly increased demand for natural gas in Florida.  By the end of this year the Florida Gas system is expected to be transporting 925 MMcf/d, which the proposed increase would almost double.
    "Negotiations with our existing and potential customers are proceeding well," said William V. Allison, president of Florida Gas. "We are filing the application at this time so that we can formally begin the environmental review process with the FERC.  This will put the project on the schedule needed to meet the market's demand for gas in the late 1994 early 1995 timeframe," he said.
    Because of the complexity of many of the customer projects that will utilize the new supplies of natural gas, the deadline for completing service agreements has been extended from Oct. 29 to Dec. 12.  Florida Gas will then have information about those additional quantities of gas and delivery points, and will be able to complete final design work on the remaining laterals, meter stations and related facilities.  This additional information will then be provided to the FERC.
    "Except for a few relatively minor modifications, the project has changed surprisingly little since we announced it," Allison said.  The project will add approximately 800 miles of new pipe, about 160 miles of which will be 30-inch diameter mainline through the western part of the state to serve the Tampa-St. Petersburg area.  Two new compressor stations will be built on the system, and existing stations will be expanded.  The estimated cost of the mainline facilities in 1993-1994 dollars is approximately $940 million.
    "We expect to complete the expansion project and begin transporting new supplies of natural gas to Florida by the end of 1994," Allison said.
    Florida Gas Transmission is a wholly owned subsidiary of Citrus Corp. which is jointly owned by Enron Corp. (NYSE: ENE) and Sonat Inc. Florida Gas, operated by Enron, is a 4,450-mile pipeline extending from south Texas to south of Miami.
    -0-           11/15/91
    /CONTACT:  Diane Bazelides of Enron, 713-853-6285, or Rolf Utegaard of Florida Gas Transmission, 407-875-5803/
    (ENE) CO:  Florida Gas Transmission Co.; Enron Corp. ST:  Florida, Texas IN:  OIL SU: CK -- NY043 -- 1498 11/15/91 11:29 EST
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Publication:PR Newswire
Date:Nov 15, 1991
Words:436
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