Peregrine Midstream Partners subsidiary secures $110m financing to complete gas storage project
Ryckman Creek Resources, LLC, a majority-owned subsidiary of Peregrine Midstream Partners LLC, has secured financing to complete its high-deliverability, multi-cycle (HDMC) Ryckman Creek Gas Storage Facility in southwestern Wyoming, USA.
The financing facility was provided by Peregrine's private equity owner, EQT Infrastructure, and a consortium of banks led by ING Capital LLC.
Ryckman Creek experienced a shut down and Force Majeure event in April 2013 due to a malfunction of a Nitrogen Rejection Unit (NRU) facility that caused a fire and the loss of some of the NRU components. Ryckman has been working on reconstructing the NRU and building additional gas handling facilities. Commercial service is expected to begin in summer 2015.
Peregrine President and CEO Roger Kelley stated:
"Throughout the period of financing negotiations, we have continued to make steady construction progress on the facility. We are excited about now having a clear path to getting Ryckman Creek into commercial service for our customers in summer 2015."
Ryckman Creek has interconnections with five interstate pipelines, which are all connected to the Opal Hub, including the Questar, Ruby, Kern River, Northwest and Overthrust pipelines. Combined meter capacity exceeds 1 Bcfd. Receipts and deliveries with Cheyenne Plains, CIG, WIC and REX also can be scheduled through the Overthrust pipeline. All interconnections are currently operational.
Executive Vice President and Chief Commercial Officer Jeff Foutch commented:
"We are fully subscribed for firm storage service for the 2015-2016 winter season although there may be parking opportunities. We appreciate the patience our customers have had with the startup delay. This is a testament to the quality of Ryckman Creek's location. We will be holding an open season next year for additional firm storage service capacity that will be available in spring 2016."
Initial working gas capacity for Ryckman Creek will be 35 Bcf by spring 2016. A Phase II expansion would increase total working gas capacity to 50 Bcf or more depending on market demand.
Country news
-
-
November 19, 2014
Cheniere Energy finances Corpus Christi Liquefaction Project
Cheniere Energy, Inc. has signed a binding commitment letter with EIG Management Company, LLC, whereby investment funds managed by EIG have agreed to purchase approximately US$1.5 billion of convertible notes to finance the Corpus Christi Liquefaction project in Texas, USA. Read more -
November 19, 2014
Infrastructure funds announce equity partnership to build a greenfield power plant
Energy Investors Funds (EIF), an energy-focused private equity firm, and I Squared Capital, an independent global infrastructure investment manager, have formed an equity partnership to develop the Oregon Clean Energy Center (OCEC) in USA. Read more -
November 20, 2014
IKEA acquires 165MW wind project in Texas
The IKEA Group has purchased its second wind farm in the United States from Apex Clean Energy, a 165 MW wind farm in Cameron County, Texas. Read more -
November 21, 2014
Steve Schauer joins KeyBanc Capital as MD In Utility, Power and Renewables Group
KeyBanc Capital Markets Inc. has hired Steve Schauer as a managing director in its Utility, Power & Renewable Energy Group. He will be based in Boston and report to Andrew Redinger, main head of the group. Read more -
November 24, 2014
CorEnergy to acquire natural gas pipeline for $125 million
CorEnergy Infrastructure Trust, Inc. has entered into a definitive agreement to acquire the ownership and operations of the USA MoGas Pipeline System for US$125 million in cash. Read more
