CINGSA files for approval of new wells

May 21, 2018

Usage patterns have developed differently than envisioned when the natural gas storage facility opened in 2012. CINGSA is seeking approval from the state to add more wells.
Credit Shaylon Cochran/KDLL

A natural gas storage well in Kenai is looking to expand. Cook Inlet Natural Gas Storage Alaska, CINGSA filed a petition earlier this month with the Regulatory Commission of Alaska seeking assurance cost for a redundancy project.

The project includes drilling two additional storage wells and bringing a new compressor into the fold.

When CINGSA opened in 2012, the idea was that natural gas producers would inject into the storage wells during the summer, then draw from the in the winter to meet high demand from regional utilities. But companies have been injecting and drawing from the wells much more frequently than anticipated, sometimes switching cycles during the course of a day. The upgrades being planned would essentially beef up the facility to meet that kind of demand, creating redundancies to try and avoid any potential disruptions of service.

RCA has to approve the plan before for CINGSA can propose a rate increase to recoup the $41 million it plans to spend. The RCA is taking public comments until May 25th.