FORCE MAJEURE COMPRESSOR OUTAGE – UPDATE #1
Kinder Morgan Keystone Gas Storage LLC (KGS) is updating the Force Majeure posting from May 6, 2019 to give further details on the outage and to update the estimated completion. An engine main bearing failed on one of the four compressors causing irreparable damage to the crankshaft. KGS Operations personnel are actively pursuing an engine replacement. As a result, KGS's storage injection capabilities continue to be limited to approximately 160,000 Dth/d until mid-June at the earliest. This incident constitutes an event of Force Majeure under Section 11 of the KGS Operating Statement.
During this force majeure event, KGS will schedule all firm nominated injections if the total of those nominations is less than the reduced injection capabilities in order to maximize the use of the available capacity and minimize the disruptions to Shippers with Firm Transactions, for each scheduling cycle. If the total of the firm injections nominations exceeds the reduced injection capabilities, KGS will first schedule any nominations equal to or less than 69% of the Shippers injection rights under a Firm Transaction (i.e., MDIQ) and then schedule any firm injection nominations above the 69% level pro rata based on the quantity above the 69% level. Interruptible and overrun service will only be scheduled if all nominated firm injections have been scheduled and injection capabilities remain for that nomination cycle.
KGS will update this notice once new information is available. KGS fully understands the impact to its firm customers. We appreciate your patience with this matter.
For scheduling questions, please contact the Nominations and Scheduling hotline at 1-800-238-3764 option 2.
For operational issues or concerns, contact Glen Petty at (719) 520-4704 or Bill McMillan at (719) 520-4389.
For commercial questions, please contact Evelyn Spencer, Keystone Gas Storage Account Manager, at 719-520-4753.
Rich Aten, Manager
Nominations and Scheduling
Western Pipelines
(719) 667-7257
richard_aten@kindermorgan.com