DATE: March 12, 2026 TIME: 12:45 PM CDT
TO: ALL TENNESSEE GAS PIPELINE COMPANY, L.L.C. CUSTOMERS
RE: Request for Proposals for Firm Storage Service at Zone 0 South (Revised)
Tennessee Gas Pipeline Company, L.L.C. ("Tennessee" or “TGP”) is soliciting non-binding proposal(s) for firm storage service to be provided at a virtual storage point near the TGP/KM Tejas Egypt interconnect in Wharton County, Texas (the “Service Point”). The proposed service would be provided in accordance with the terms and conditions of Tennessee's FERC NGA Gas Tariff (as amended or superseded from time to time, the “Tariff”) through the acquisition of off-system storage and transportation capacity from Kinder Morgan Texas Pipeline LLC (“KMTP”) (the “Off-System Capacity”). Unless otherwise indicated, capitalized terms that are used but not defined herein shall have the meanings ascribed to such terms in Tennessee's Tariff.
It is anticipated that the proposed service would be provided at market based rates under Tennessee's existing Rate Schedule FS-F (Class A Service Option), as amended to include the proposed Service Point as a new “FS-F Service Point”.
The proposed service is contingent upon, without limitation: (i) the successful acquisition by Tennessee of the Off-System Capacity and of expansion storage capacity from Bear Creek Storage Company, L.L.C. (“Bear Creek”), each subject to Tennessee's and the third party's receipt of all required regulatory approvals, including, without limitation, any authorizations that may need to be obtained from the Federal Energy Regulatory Commission (“FERC”); and (ii) satisfactory approvals from the FERC of Tennessee's required modifications to its existing Rate Schedule FS-F storage service to allow for the provision of service at market based rates at the proposed Service Point.
Additional details regarding the proposed storage capacity and Tennessee's preferences for proposals are as follows:
Term: At least seven years and up to 20 years, with term proposals in one-year increments, expiring on March 31.
Capacity:
Maximum Storage Quantity (“MSQ”): 4,500,000 Dth
Maximum Daily Injection Quantity (“MDIQ”): 85,000 Dth/day
Maximum Daily Withdrawal Quantity (“MDWQ”): 120,000 Dth/day
Required Injection Ratchets:
Inventory % MDIQ
0-100% 100%
Required Withdrawal Ratchets:
Inventory % MDWQ
100-0% 100%
Commodity: $0.00
Injection Fuel: 1.5%
Withdrawal Fuel: 0.0%
Other Rates and Charges: Shippers would pay any other generally applicable rates and charges as set forth in Tennessee's Tariff.
Reservation Rate: To be proposed by each potential shipper in its bid.
The commencement date of service (the “Commencement Date”) is anticipated to be April 1, 2029, but such date may be adjusted depending upon the date TGP acquires the Off-System Capacity and the in-service date of the Bear Creek facilities.
Interested parties should contact one of the Tennessee Bidroom representatives listed below at their earliest convenience. Interested parties should submit proposals by 2:00 PM CT, April 2, 2026 (the “Proposal Date”).
Each proposal will be treated as confidential and will not be disclosed, except as authorized by the party making such proposal or required by applicable law or regulation. Tennessee will evaluate proposals on a not unduly discriminatory basis based on the best economic outcome for Tennessee. Upon receipt of an acceptable proposal(s) that best satisfies the criteria and economic considerations for the capacity offered herein, the party(ies) making such proposal(s) and Tennessee shall commence negotiation of all applicable service terms. Tennessee will inform potential shippers with successful proposals of such on or before the date that is two weeks following the Proposal Date (provided, that such date may be extended by Tennessee). Proposals will become binding once the terms thereof are incorporated into definitive agreements.
TGP reserves the right, to be exercised on a not unduly discriminatory basis, to continue to market and/or to modify the amount of the capacity offered herein, and to enter into negotiations and execute definitive agreements with any interested shippers following the Proposal Date. Further, any definitive agreements entered into in connection with this request for proposals would be in accordance with all applicable provisions of Tennessee's Tariff, including, without limitation, any such provisions addressing posting and open season requirements for available capacity.
If you have any questions regarding the Request for Proposal, please contact the following:
Chris Brown (713) 420-6201
Britton Burr (713) 420-6838
Kevin Cofer (713) 420-7010
Allison Kaczynski (713) 420-2414
Scott Minear (713) 420-5177
Aaron O'Reilly (713) 420-2418
Greg Pollard (713) 420-7149
Cesar Saldana (713) 420-2643
E-mail TGPBidroom@kindermorgan.com
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