Egan Hub Partners, L.P., Notice of Application

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February 28, 1996.

Take notice that on February 16, 1996, Egan Hub Partners, L.P. (Egan Hub) filed an application in Docket No. CP96-199-000 pursuant to Section 7(c) of the Natural Gas Act and Parts 157 and 284 of the Commission's Regulations (regulations) requesting: (1) a certificate of public convenience and necessity pursuant to Subpart A of Part 157 authorizing the operation of natural gas facilities initially constructed to provide Natural Gas Policy Act (NGPA) Section 311(a)(2) storage and transportation services at market-based rates; (2) a blanket certificate pursuant to subpart G of Part 284 authorizing Egan Hub to provide open access storage and transportation services on behalf of others; (3) a blanket construction certificate pursuant to Subpart F of Part 157 authorizing certain construction and operation of facilities abandonments, and certificate amendments; (4) a blanket sales certificate pursuant to Subpart J of Part 284 authorizing Egan Hub to provide unbundled sales service for the limited purpose of disposing of gas in storage that shippers may fail to remove; and (5) approval of the FERC Gas Tariff included at Exhibit P to the application; all as more fully set forth in the application on file with the Commission and open to public inspection.

Egan Hub also requests, if market-based rates are approved, waivers of (1) the requirements of Section 284.8(d) of the regulations, which require that rates be designed using a straight fixed-variable rate design methodology; (2) the requirements of Section 157.14 of the regulations to permit Egan Hub to omit Exhibits K, N, and O to the application; and (3) the accounting and reporting requirements under Part 201 and Section 260.2 of the regulations.

The storage and transportation facilities for which Egan Hub seeks approval to operate are located in Acadia Parish, Louisiana. Egan Hub says the facilities consist of an underground storage cavern and related natural gas transportation facilities which were initially constructed to provide NGPA 311(a)(2) service. Approval is requested to operate the existing storage cavern with a 3.5 Bcf working gas capacity and pipeline facilities consisting of:

Egan Hub proposes to charge and collect market-based rates for these storage and transportation services.

Egan Hub also requests a certificate of public convenience and necessity pursuant to Subpart A of Part 157 authorizing construction and operation of a second cavern and appurtenant facilities necessary to provide additional new storage and transportation services at market-based rates. The Commission's Staff will defer processing this request pending NE Hub's filing a supplement to this application which specifically describes the proposed new facilities and services and includes required environmental and engineering/geological data.

Any person desiring to be heard or to make any protest with reference to said application should on or before March 6, 1996, file with the Federal Energy Regulatory Commission, Washington, DC 20426, a motion to intervene or a protest in accordance with the requirements of the Commission's Rules of Practice and Procedure (18 CFR 385.214 or 385.211) and the Regulations under the Natural Gas Act (18 CFR 157.10).

All protests filled with the Commission will be considered by it in determining the appropriate action to be taken, but will not serve to make the protestants parties to the proceedings. Any person wishing to become a party to a proceeding or to participate as a party in any hearing therein must file a motion to intervene in accordance with the Commission's Rules.

Take further notice that, pursuant to the authority contained in and subject to the jurisdiction conferred upon the Federal Energy Regulatory Commission by Sections 7 and 15 of the Natural Gas Act and Commission's Rules of Practice and Procedure, a hearing will be held without further notice before the Commission or its designee on this application if no motion to intervene is filed within the time required herein, if the Commission on its own review of the matter finds that a grant of he certificate is required by the public convenience and necessity. If a motion for leave to intervene is timely filed, or if the Commission on its own motion believes that a formal hearing is required, further notice of such hearing will be duly given.

Under the procedure herein provided for, unless otherwise advised, it will be unnecessary for Edgan Hub to appear or be represented at the hearing.

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