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May 24, 2000
EPSTEIN ENERGY ENGINEERING TO DESIGN HORIZON PIPELINE
Epstein Energy Engineering, a division of A. Epstein and Sons International, Inc., the Chicago-based architecture/engineering firm, today announced the firm has been selected to design the Horizon Pipeline. The natural gas pipeline is being developed by Natural Gas Pipeline Company of America (NGPL), a subsidiary of Kinder Morgan, Inc., in partnership with Nicor. Epstein also will provide project management and procurement services for the pipeline project.
The $75 million Horizon Pipeline will originate in Joliet, Illinois and extend 74 miles into northern Illinois. The natural gas pipeline will connect the emerging supply hub at Joliet with Nicor Gas' distribution system and an existing NGPL pipeline. It is capable of expansion into southern Wisconsin. The project also will include construction of a compressor station in Joliet.
"We are very excited about the opportunity to design this pipeline and increase the capacity for bringing this important natural resource into northern Illinois," said Mickey Kupperman, president and CEO of Epstein.
The initial capacity of the Horizon Pipeline will be 380 million cubic feet (MMcf) of natural gas per day. Nicor Gas has committed to shipping 300 MMcf of natural gas per day on the pipeline. Construction of the 36-inch, high-pressure pipeline is slated to start in spring, 2001 with completion scheduled for spring, 2002.
The Horizon Pipeline represents the most economical and environmentally friendly alternative available to Nicor Gas and others for providing additional natural gas to growing northern Illinois communities. A substantial portion of the pipeline will use existing pipe and right of way reducing environmental impacts and concerns over installing new pipe and creating new rights-of-way.
Epstein's Energy Engineering division offers the technical expertise necessary to address a variety of energy engineering needs including pipeline and compression/pump station design, metallurgical consulting, underground storage facility design and overall project and construction management.
"The Energy unit at Epstein continues to grow and now serves as a major supplier of engineering services in the United States," said Joseph Posewick, Senior Vice President for Energy Engineering at Epstein. "The Horizon project offers another opportunity for this division to use its specialized engineering expertise to meet the energy needs of another geographic region - in this case, northern Illinois."
A. Epstein and Sons International, Inc. is one of the largest and oldest architecture and engineering firms in the United States, with current projects-in-progress valued at $1 billion. Begun in 1921, the privately held, full-service design firm has grown to provide expertise in areas complimentary to architecture and engineering including construction management, interior design and energy engineering.
Kinder Morgan, Inc. (NYSE: KMI) is one of the largest midstream energy companies in America, operating more than 30,000 miles of natural gas and products pipelines in 26 states. It also has significant retail distribution, marketing, gathering, electric generation and terminal assets. Kinder Morgan, Inc., through its general partner interest operates Kinder Morgan Energy Partners, L.P. (NYSE: KMP), America's largest pipeline master limited partnership. Combined, the two companies have an enterprise value of approximately $10 billion.
Nicor (NYSE: GAS) is a holding company. Its principal businesses are Nicor Gas, one of the nation's largest gas distribution companies and Tropical Shipping, a containerized shipping business that operates between Florida and the Caribbean. Nicor also owns several energy-related subsidiaries and is a partner in Nicor energy, a provider of unregulated energy products and services.
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