June 19 (Reuters) - Kansas-based energy company Tallgrass Energy LP
<TGE.N> asked federal energy regulators to promptly issue an order
allowing the company to build the Cheyenne Connector and Cheyenne Hub
Enhancement natural gas projects in Colorado, according to a filing made
available on Wednesday:
* Tallgrass said it has addressed all data
requests, obtained the necessary right-of-way, and needed only the
authorization of the U.S. Federal Energy Regulatory Commission (FERC) to
start building the projects.
* Tallgrass said prompt action was required
to ensure takeaway capacity for new and expanded gas processing plants of
DCP Midstream LP <DCP.N> and a unit of Anadarko Petroleum Corp <APC.N>,
which are both expected to be in service in the autumn.
* Tallgrass said
any further delay in receiving federal authorization to build the projects
may cause construction to impact the 2020 growing season in addition to
2019. The projects will be built on farmland.
* The company said it has
construction crews on standby, noting any further delays could force it to
release the crews and likely face further delays in securing critical
crews and equipment.
* The 71-mile (114-km) Cheyenne Connector pipeline is
designed to transport up to 0.6 billion cubic feet per day (bcfd) from the
Denver-Julesburg Basin to the Cheyenne Hub in Weld County, Colorado, where
the Cheyenne Hub Enhancement will permit receipt and delivery of gas into
the interstate pipeline network.
* One billion cubic feet of gas can
supply about five million U.S. homes for a day.
* The projects will cost
an estimated $133 million for the Cheyenne Hub and $213 million for the
Cheyenne Connector, according to a report by the U.S. Department of
* Tallgrass said it filed for authorization from FERC in March
2018. The company said it sought to commence construction by April 1, 2019
to meet shippers requests to get the projects in service by Oct. 1, 2019.
* FERC staff issued the environmental assessment for the projects on Dec.
18, 2018, finding the projects would have no significant impact on the