Tennessee Gas Declares Force Majeure on Line 1 STA 409A-101
Published
Tennessee Gas Pipeline has declared force majeure on a segment of its Line 1 system, station 409A-101.
A force majeure declaration of this kind points to an unplanned outage, one that frees the operator from its contractual delivery obligations along that stretch of pipe and pulls capacity out of the system until repairs or inspections are finished. A cut on a trunk line of this size tends to tighten flows into the markets the line serves. Shippers who had booked firm capacity on Line 1 now have to find other routes or absorb the shortfall themselves.
Until Tennessee Gas lifts the declaration and restores normal service, local gas balances along the affected corridor can stay tighter, and cash prices there firmer, than they were before the outage.