| Type: | Natural Gas Pipeline |
| Industry: | Pipeline |
| Area Served: | Natural Gas Distribution: California, Arizona, Nevada, New Mexico, Oklahoma, Texas, and Northern Mexico. |
El Paso Natural Gas (EPNG) is an American company and a 10,140-mile pipeline system consisting of a system of natural gas pipelines that brings gas from the Permian Basin in Texas and the San Juan Basin in New Mexico and Colorado to West Texas, New Mexico, Nevada, California, and Arizona. It also exports some natural gas to Mexico.[1]
El Paso Natural Gas is based in Colorado Springs, Colorado and is owned by Kinder Morgan, Inc. of Houston, Texas.
Historically, EPNG's primary market was California, though the growth of competing pipelines into that market and lack of increased demand since 2001 has led to a decrease in its business there, especially in Southern California. At the same time, EPNG's shipping into Arizona has increased, largely because it was the only pipeline into the fast-growing Phoenix area until the TransWestern Phoenix Lateral came in service Q1 2009.
Its largest customers are:
October 1945: In light of depletion of reserves in California by the war and expected future growth. EPNG proposed building 720 miles of 26-inch pipeline ($19.8m) to supply California markets with gas from the Permian Basin in Lea County, New Mexico, work to be finished in the spring or summer of 1947. Line were to end at the Colorado River where it was to connect to the Southern California Gas Company system. Additionally planned were 117 miles (24-inch), 32 miles (18-inch) and 14.5 miles (14-inch) of gathering pipelines ($3.4m), a 105,000,000 cubic feet/day compressor station, dehydration and purification plant at Jal, New Mexico ($2.2m). A limit of 300,000,000 cubic feet/day with additional compressor stations. total cost $25.4m.[3] The line became operational on 13 November 1947.[4]
In the 1970s, EPNG became the El Paso Company. In 1983, the company was acquired by Burlington Northern, Inc..[5] In 1992, Burlington spun off the company as a publicly traded corporation.[6] In 1996 and 1999, the company purchased Tenneco Energy from Tenneco[7] and Sonat, Inc.,[8] respectively.
The company pioneered:
For many years, the company had more gas-treating capacity than all of other interstate pipelines combined.
In 1967, El Paso joined with the federal agencies to test the use of a nuclear device to fracture or create fractures in gas-bearing formations:
The experiment, called Project Gasbuggy, was considered a success in terms of its objectives. However, it was considered not to be commercially feasible.