As the 5th largest gas producer within the us , natural
gas pipeline networks in Colorado are a key piece of infrastructure in
transporting this abundant resource. This network develops organically in
response to the market conditions of the state . With the recent increase
in gas production, Colorado has seen a rise within the amount
of gas pipeline capacity built within the state. Since pipelines are
often buried, they represent an efficient, virtually uninterruptable mode of
transport for transporting gas to markets in and out of doors of the state.
Several intrastate pipelines cross Colorado and transport gas
supply both in and out of Colorado. The TransColorado Gas Transmission
The company, with the Rocky Mountain gas Company, moves natural
gas production south and westward to New Mexico and California.
Two pipelines allow producers within as well as the Unita/Piceance Basin to move
natural gas eastward, through the Cheyenne Hub:
The TransColorado Gas Transmission Company and therefore the Rockies Express Pipeline. The Trailblazer Pipeline Company as well as therefore the Cheyenne Plains Pipeline receives natural
gas from the Colorado Interstate gas service at the Cheyenne Hub
and transports the gas from the Rockies to the Midwest
markets.18 The 4,300-mile Colorado Interstate Gas (CIG) pipeline system
provides most of the gas to the general public Service Company of Colorado
(a subsidiary of Xcel Energy), the main distributor of gas within the
state. The new expansion will support as well as the growing gas production
and direct it towards the Cheyenne Hub as well as in northeast Colorado.19 These
pipelines and lots of others bring as well as a spread of advantages to the state,
including supporting 12,000 jobs as well as stemming from construction, operation,
and maintenance of the pipelines.
NATURAL GAS HUBS
Colorado is quite just a production region; Denver acts as a
balancing point for the Mid and South West. The market balances supply
from the Kansas and Texas Panhandle refineries as well as provide from the
Denver area and Wyoming.21 gas hubs act as well as a means of transport between
two or more pipelines providing pricing as well as points and locations for spot
markets transactions and gas trading.
The Cheyenne Hub is located in Weld County as well as connects the Cheyenne Plains, Colorado
Interstate Gas (CIG), Kinder Morgan Interstate Gas Transmission (KMIGT),
Public Service of Colorado, Rockies Express as well as Southern Star, Trailblazer,
and Wyoming Interstate Company (WIC). The White Hub is
located in northwest Colorado as well as primarily handles production from
the Piceance Basin; pipelines as well as include Questar Pipeline, Rockies Express,
TransColorado, CIG, Wyoming Interstate Company, Northwest Pipeline,
and Williams Field Services’ Parachute Lateral. On average , gas
prices at both of those hubs are below the national average.