ENGlobal, a provider of engineering and related project services, has been selected by Merchant Energy Partners (MEP), a natural gas storage developer based in Denver, Colorado, to provide front-end engineering and design services for phase one of the East Cheyenne gas storage project located in Logan County, Colorado.
ENGlobal has been engaged to design facilities associated with approximately 9.7bcf of storage capacity, including engineering and procurement services. The contract scope includes a compressor station, a gas processing facility, gathering lines, pipeline interconnects and a metering station.
Construction of the East Cheyenne project, which is estimated to have a total installed cost of $90m, is expected to begin in June 2010 and to be completed by September 2011.
William Harnisch, senior vice president of engineering and project development and partner of MEP, said: “The East Cheyenne project, with total project acreage of approximately 6,000 acres, is needed to provide natural gas storage to meet anticipated market demand throughout the Midwest and Western US.
“Once complete, the storage areas would have a total working gas inventory of approximately 18.9 billion cubic feet. We are looking forward to working closely with ENGlobal as we begin the first phase of this very important project.”