DEGT at a Glance

Duke Energy Gas Transmission (DEGT) serves its customers by transporting natural gas from North America’s major supply areas and growing supply sources to markets in the northeastern and southeastern United States and in Canada. In addition to its vast transmission pipeline assets, DEGT stores natural gas, distributes natural gas to retail customers in Ontario, and gathers and processes natural gas for customers in western Canada.

Areas of Expertise

Natural Gas Transportation
DEGT has more than 60 years of experience in designing, planning, constructing, operating and maintaining long-haul (interstate and interprovincial) natural gas transmission systems.

Natural Gas Storage
The company has significant depleted reservoir and salt cavern natural gas storage capabilities, as well as two liquefied natural gas (LNG) storage and regasification facilities.

Natural Gas Distribution
Through Union Gas, an integrated natural gas storage, transmission and distribution company in the Canadian province of Ontario, DEGT has about 1.2 million residential, commercial and industrial distribution customers.

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Core Customers

  • Local distribution companies
  • Marketers and traders
  • Natural gas producers (Gulf Coast, Sable Island, Appalachian and western Canada)
  • Electric power generators

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Markets Served

  • United States (Northeast, Southeast, Gulf Coast and Pacific Northwest)
  • Canada

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Operational Facts

  • Natural gas operations include more than 18,500 miles of transmission pipeline and more than 250 billion cubic feet of storage capacity in the U.S. and Canada. DEGT also has natural gas gathering, processing and distribution assets and natural gas liquids operations that are among the largest in Canada.
  • DEGT’s wholly owned companies include Texas Eastern Transmission, Algonquin Gas Transmission, East Tennessee Natural Gas, Union Gas, BC Pipeline and Field Services and Market Hub Partners. The company has significant ownership interests in Maritimes & Northeast Pipeline (77 percent ownership) and Gulfstream Natural Gas System (50 percent).
  • Based in Houston, Texas, DEGT also has major offices in Boston, Mass.; Calgary, Alberta; Chatham, Ontario; Halifax, Nova Scotia; Nashville, Tenn.; and Vancouver, British Columbia.

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Key Business Factors

  • Must gain federal approval before building major or modifying certain existing pipelines, compressor stations and related facilities.
  • Company’s emphasis on providing superior customer service through the safe and reliable transportation of natural gas is a key competitive advantage.
    Company’s superior geographically positioned assets are another competitive advantage.

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Interesting Facts

  • Major owner of salt cavern natural gas storage facilities in North America. DEGT also has significant depleted reservoir storage capacity.
  • Owns and operates the largest capacity underground storage field in North America. The Dawn, Ontario, facility can store more than 155 Bcf of natural gas.
    Placed five major expansion projects into service in 2004, providing about 840 million cubic feet per day of added capacity for U.S. and Canadian customers.
  • In 2002, DEGT helped complete the Gulfstream Natural Gas System, the first new interstate pipeline constructed for the Florida market in more than 40 years. Construction of a 110-mile extension to Florida’s East Coast was completed in early 2005.
  • In 1999, DEGT helped bring natural gas from Sable Island, the first major new supply source to be introduced to the United States in 20 years, through its interest in the Maritimes & Northeast Pipeline.

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History

1947
Texas Eastern Transmission was founded following the purchase of the Big Inch and Little Big Inch crude oil pipelines from the U.S. government, thus initiating natural gas transmission service from the energy fields of East Texas to the northeastern United States.

1949
Texas Eastern Transmission began servicing the Philadelphia area and formed a partnership called Algonquin to provide natural gas to New England.

1953
Algonquin became a wholly owned subsidiary and made its first deliveries of Gulf Coast natural gas to New England customers.

1989
Texas Eastern’s board announced the $3.22 billion deal with Panhandle Eastern Corp. in which Texas Eastern became a wholly owned subsidiary of Panhandle Eastern. The new company had four major pipelines: Panhandle Eastern Pipe Line, Trunkline Gas, Texas Eastern Transmission and Algonquin Gas Transmission.

1996
Panhandle Eastern formally changed its name to PanEnergy Corp.

1997
Duke Power and PanEnergy merged, forming Duke Energy.

1998
Construction began on the 650-mile Maritimes & Northeast Pipeline, which was in service by December 1999. It provided a link to the first major new supply source (Sable Island, offshore Nova Scotia) to be introduced to the United States in 20 years.

2000
Duke Energy purchased East Tennessee Natural Gas (ETNG) from El Paso Energy. After the purchase, DEGT established interconnects between ETNG and Texas Eastern Transmission to provide Duke Energy with seamless service from the Gulf Coast to ETNG’s southeastern markets.

Duke Energy purchased Market Hub Partners LP from NiSource.

2002
Duke Energy acquired Westcoast Energy. The acquisition significantly strengthened the company’s natural gas transmission and storage capacity positions. DEGT added more than 6,000 miles of transmission pipeline, 155 billion cubic feet of natural gas storage capacity and 16,500 miles of distribution pipeline.

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Recognition and Community Involvement

2004 Safety Achievement Award
American Gas Association
This is the fifth time that Duke Energy Gas Transmission has earned the American Gas Association’s top safety award, for outstanding achievement in promoting employee safety along natural gas pipelines. DEGT’s U.S. operations achieved the lowest disability injury and illness rate among large transmission companies in 2004.

Coastal America Partnership Award
DEGT, a leading member of the Texas Corporate Wetlands Restoration Partnership, was recognized in 2004 for its work to restore marshlands and build a trail system around the historic San Jacinto battleground near Houston.

2004 Ethics in Action Award
The British Columbia Regional Committee recognized DEGT West for putting the company’s values into action. The award cited the company’s Global Service Event, community fundraising campaigns, volunteer and leadership grants, support of non-profit organizations and sponsorship of the Northern Opportunities initiative in northeast British Columbia.

2005 Lighthouse Award
The Calgary Board of Education recognized Duke Energy in 2005 for its partnership with the Calgary (Alberta) Board of Education and the City of Calgary Parks to develop the Urban Ecology Program. Combining indoor classroom work with outdoor study, this unique program helps students discover the complex ecological relationship between urban environments and undisturbed wilderness areas.

Safety Awards for Pipeline Operations
The Canadian Energy Pipeline Association recognized DEGT West for the lowest recordable vehicle incident frequency rate and the lowest recordable injury frequency rate in 2003, compared with industry peers.

2003 Gulf Guardian Award
To Gulfstream Natural Gas System from the Gulf of Mexico Program, recognizing and honoring positive steps taken to keep the Gulf healthy, beautiful and productive.

2002 EPA Natural Gas Star Transmission Partner of the Year Award
From the Environmental Protection Agency for DEGT’s methane reduction program.

2002 AGA Safety Achievement Awards
From the American Gas Association to DEGT for lowest lost-time incident rate among large natural gas transmission companies in 2001. Second consecutive year received; fourth time overall.

From the American Gas Association to Union Gas for lowest lost-time incident rate among very large local distribution companies in 2002.

2002 Outstanding Safety on the Job
From the Canadian Energy Pipeline Association to Maritimes & Northeast Pipeline for the lowest recordable injury frequency rate and lowest recordable vehicle incident frequency rate in 2002.

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General Contact Information

Duke Energy Gas Transmission
5400 Westheimer Court
Houston, Texas 77056-5310
(713) 627-5400