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PNGTS Commences Commercial Operations.

A ceremony was held on Feb. 25 at the U.S./Canadian border to announce the completion of the first high-capacity natural gas pipeline to serve northern New England. Representatives from Portland Natural Gas Transmission System (PNGTS) and TransQuebec & Maritimes Pipeline, Inc. (TQM) attended

the event.

PNGTS is initially transporting up to 178,000 MMBtu/day of natural gas from an interconnection with TransCanada PipeLines (through the TQM extension) to an interconnection with the Tennessee system in Dracut, MA, during the upcoming construction season.

Long-term transportation contracts with eight shippers, including paper mills, power plants, gas utilities and third-party marketers, have been executed. The pipeline facilities can be easily upgraded by adding incremental compression in order, to expand throughput and support continued growth in gas markets through the northeast.

The 292-mile, 24- and 30-inch mainline U.S. portion of PNGTS transports natural gas and provides new and expanded service to contiguous market areas in New Hampshire and Maine. Approximately 50 miles of various sized laterals are also part of the U.S. segment. The TQM extension in Canada includes about 136 miles of 24-inch mainline between Lachenaie and East Hereford, Quebec.

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