Why are Rockies Express Pipelines a necessity?

The Rockies Express pipelines represent one of theMid-Continent, Canada and imports of liquefied natural
most challenging long-term projects that have been putgas (LNG). But these supplies are diminishing
into practice in North America. Summing up 1,678 miles,significantly and steadily because of several factors.
the project involves the necessary infrastructure forOne example would be hurricanes which have
producers in the Rocky Mountains to evaluate theirpermanently been affecting America lately. This
assets at their true value. To state it clear, this meanssituation rose the necessity of an extra source of
the great possibility to deliver natural gas to businessesnatural gas for the country.
in key regions of the country: East and Midwest. TheThe second reason for Kinder Morgan pipelines to be
project is also referred to as Kinder Morgan pipelinesbuilt is constituted by Wyoming that is claimed to be
owing to the main associate in the project whothe first region as far as the growth of natural gas
provides most of the finances..supplies is concerned. It currently occupies the third
The pipelines start their way at Meeker Hub in Rioplace among the natural gas producers whose
Blanco County, Colorado and they go as far as thesupplies are mostly exported. Actually, only 5% of the
Clarington Hub in eastern Ohio. A great characteristic istotal amount of production is provided to American
that the Rockies Express pipelines try to go in parallelconsumers. Moreover, constant production of natural
with already existing service passages as much asgas is developing in Utah and Colorado. For all this
possible. The immediate consequence is the significantquantity of natural gas up-to-date pipelines are a must.
abridgement in costs that are normally necessary toAnother reason for which the infrastructure should be
acquire additional right-of-way. But they are alsoenlarged is represented by the estimated figures of
important insofar as avoiding disruptions is concerned.natural gas demand. Experts claim it to rise up to 50%
The Kinder Morgan pipelines have alreadyby 2020. Therefore, it is absolutely necessary for the
accomplished part of the project, meaning 136 miles,American consumers to have a stable and secure
which have been approved in February 2006,supply or natural gas. And this can be attained by
completed recently and it is already being used. Thismeans of the Rockies Express pipelines. As a matter
specific sector starts from the Meeker Hub in Rioof fact, it is projected to transport 1.8 billion cubic feet
Blanco County, Colorado and finishes in theof natural gas per day from Wyoming and Rocky
Wamsutter Hub in Sweetwater County Wyo. AnotherMountain surroundings to consumers in the Midwest
portion of the Rockies Express pipelines has beenand East.
approved and it is estimated to be finishes in JanuaryLast, but not least, supplementary infrastructure of the
2008. The rest of the project is expected to end inKinder Morgan pipelines system it will enable other
2009.projects to be developed later on. A significantly larger
At the beginning, most people asked themselves why tgas market will lead to steady gas prices and revenue
was necessary to build the Rockies Express pipelines.stream in the States. Consequently, a steady market
A first answer is to serve the needs of the nation. In aof the industry will soon establish without the present
nutshell, consumers from Midwest and East arefluctuations.
provided with natural gas coming from the Gulf Coast,