RCA OKs Buccaneer/KNPL connection

The Regulatory Commission of Alaska has approved an interconnection between Buccaneer Alaska Operating LLC and Marathon Oil Co.’s Kenai Nikiski Pipeline.

The Dec. 14 decision sets the stage for Buccaneer to begin commercial deliveries from its Kenai Loop project as soon as final gathering lines and associated facilities are complete.

Through a contract approved earlier this year, the local subsidiary of an Australian independent could begin making deliveries into Enstar Natural Gas Co. system before the end of the year, and begin firm gas deliveries to the utility by April, once the Cook Inlet Natural Gas Storage Alaska, LLC storage facility begins operation. Enstar said the Buccaneer volumes could displace more expensive supply sources this winter.

—Eric Lidji