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Why are Rockies Express Pipelines a necessity?

The Rockies Express pipelines represent oneGulf Coast, Mid-Continent, Canada and imports
of the most challenging long-term projectsof liquefied natural gas (LNG). But these
that have been put into practice in Northsupplies are diminishing significantly and
America. Summing up 1,678 miles, the projectsteadily because of several factors. One
involves the necessary infrastructure forexample would be hurricanes which have
producers in the Rocky Mountains to evaluatepermanently been affecting America lately.
their assets at their true value. To state itThis situation rose the necessity of an extra
clear, this means the great possibility tosource  of  natural  gas  for  the  country.
deliver natural gas to businesses in key
regions of the country: East and Midwest. TheThe second reason for Kinder Morgan pipelines
project is also referred to as Kinder Morganto be built is constituted by Wyoming that is
pipelines owing to the main associate in theclaimed to be the first region as far as the
project  who  provides most of the finances..growth of natural gas supplies is concerned.
It currently occupies the third place among
The pipelines start their way at Meeker Hubthe natural gas producers whose supplies are
in Rio Blanco County, Colorado and they go asmostly exported. Actually, only 5% of the
far as the Clarington Hub in eastern Ohio. Atotal amount of production is provided to
great characteristic is that the RockiesAmerican consumers. Moreover, constant
Express pipelines try to go in parallel withproduction of natural gas is developing in
already existing service passages as much asUtah and Colorado. For all this quantity of
possible. The immediate consequence is thenatural  gas up-to-date pipelines are a must.
significant abridgement in costs that are
normally necessary to acquire additionalAnother reason for which the infrastructure
right-of-way. But they are also importantshould be enlarged is represented by the
insofar as avoiding disruptions is concerned.estimated figures of natural gas demand.
Experts claim it to rise up to 50% by 2020.
The Kinder Morgan pipelines have alreadyTherefore, it is absolutely necessary for the
accomplished part of the project, meaning 136American consumers to have a stable and
miles, which have been approved in Februarysecure supply or natural gas. And this can be
2006, completed recently and it is alreadyattained by means of the Rockies Express
being used. This specific sector starts frompipelines. As a matter of fact, it is
the Meeker Hub in Rio Blanco County, Coloradoprojected to transport 1.8 billion cubic feet
and finishes in the Wamsutter Hub inof natural gas per day from Wyoming and Rocky
Sweetwater County Wyo. Another portion of theMountain surroundings to consumers in the
Rockies Express pipelines has been approvedMidwest  and  East.
and it is estimated to be finishes in January
2008. The rest of the project is expected toLast, but not least, supplementary
end  in  2009.infrastructure of the Kinder Morgan pipelines
system it will enable other projects to be
At the beginning, most people askeddeveloped later on. A significantly larger
themselves why t was necessary to build thegas market will lead to steady gas prices and
Rockies Express pipelines. A first answer isrevenue stream in the States. Consequently, a
to serve the needs of the nation. In asteady market of the industry will soon
nutshell, consumers from Midwest and East areestablish without the present fluctuations.
provided with natural gas coming from the



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