OUR MISSION ¬
The Wyoming Pipeline Authority (herein referred to as the Authority) is actively engaged in promoting the development of intrastate and interstate pipeline infrastructure necessary to enhance natural resource development within Wyoming and encourage the export of these natural resource supplies in the Rocky Mountain region to the nation.
The Authority has worked with producers, gatherers, processors, pipeline companies, end use markets and local distribution companies interested in tapping into Wyoming’s natural resource base. Wyoming legislation authorizes the Authority to issue up to $3 billion in bonds to promote the development of and finance pipelines and infrastructure necessary to develop the State's tremendous natural resource (reserve) base – these commodities include natural gas, crude oil, CO2, coal or coal by-products, synthetic fuels, and water related to energy production. The Authority continues to work with the Federal Energy Regulatory Commission (FERC) to accelerate development of pipeline export capacity from Wyoming and the Rocky Mountain region.
More recently, the Authority has focused its efforts on the development of natural gas. Prior to recent expansions of pipeline capacity from the State, natural gas prices were severely depressed in the region – Opal Hub trading at $5-6 per MMBtu less than the Henry Hub. The disconnect in prices in the Rockies relative to those experienced in other regions around the country cost the State as much as $1.3 million per day in lost severance, ad valorem, and royalty revenue. The lost opportunity cost to the State of Wyoming in 2007 was approximately $470 million or about 14% of the 09-10 Biennium budget. Producers lost opportunity cost was on the order of $2.5 billion in 2007. It is the Authority's goal to promote an increase in the total scheduled export volume of the State and to promote development of infrastructure necessary to realize a cost-of-transportation-only basis differential to prices at Henry Hub on an annualized basis.
Our mission is to plan, finance, construct, develop, acquire, maintain, and operate a pipeline system or systems within or without the state of Wyoming to facilitate the production, transportation, distribution and delivery of natural resources produced in the state, including natural resources received as royalties "in kind" pursuant to mineral leases by the state, its agencies and political subdivisions, which authorize the lessor to receive royalties, or received as royalties from the federal government. In order to provide for the financing, construction, development, maintenance and operation of the pipeline system, the authority may lease or rent facilities constructed pursuant to the authority conferred, and all facilities, structures and properties incidental and necessary thereto, to facilitate the production, transportation, distribution and delivery of natural gas and associated natural resources to point of consumption or to the point of distribution for consumption.
The Authority is defined as a body politic and corporate of the State; an instrumentality of the State. However, the Authority is neither a regulatory body nor a State agency. The Authority operates under a loan agreement with the State of Wyoming as its primary debtor. This loan is repaid as the Authority finances projects through the sale of its bonds, administrative fees per project, or via its data subscriptions service and contract work.
The Authority will advance and facilitate all industry sponsored and supported projects; proactively promote infrastructure development within the state and Rocky Mountain region; promote efficient utilization of existing infrastructure in a cost effective manner; promote development of Wyoming's mineral resource base in a systematic, streamlined and environmentally responsible manner and utilize its bonding authority to build or cause to be built infrastructure projects that will enhance state netbacks and promote development of an energy resource base that is in the nation's best interests.
LEGISLATION
WPA COMMENTS AND ACTIVITY LIST
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