Subject: sun devil fuel
ben and ron - -
following up on our meeting today , i need to know what my negotiation parameters are regarding the fuel charge for our sun devil project . how much ( if any ) can i discount the fuel charges for sun devil shippers , based on the following assumptions ,
project cost $ 911 mm
include all compression adds / mods from doug cebryk engineering scope dated 9 / 28 / 01
incremental volume mmbtu / d : 780 , 000 san juan , 810 , 000 mainline , 500 , 000 to phoenix , 310 , 000 to cal border
of 1 , 520 , 000 total capacity to cal border and 500 , 000 to phoenix , assume 390 , 000 has to come from east of thoreau
assume load factors in 10 % increments from 50 % west flow up to 100 % .
assume fuel collection of 5 % from shippers
in theory , we all agreed in the meeting that with the additional loop line installed for sun devil , and the new compressors at stations 1 - 4 are more efficient , then the actual fuel use should be less . please verify this for the load factors above . if we can keep the same net fuel retainage , but collect less because our actual fuel use is less , then this is a win - win for both tw and the sun devil shippers .
is an answer possible by tuesday 11 / 12 ?
thanks
kh
x 35559