| Show t JI II w u uL V s i ir L t r E r i t I P O F y s1 t p-t 14 i 1 I I Ay W II ft r i jf i r Mol i GI 1 V. V V C J JV ff ri s i T v 1 fr r Agreement Paves Way for New Grand Pipeline SALT LAKE LAID CITY Mountain CITY Mountain Fuel Supply Co and Sinclair Oil OU Gas Co today Loday announced execution of a gas purchase agreement providing for the sale saleby saleby saleby by Sinclair to Mountain Fuel of I cubic feet of gas per day from the general San Arroyo Arroyo Arroyo Arro Arro- yo Bryson ryson Canyon area of Grand County Utah The agreement was Jointly announced by W. W T. T Nightingale and William WlIIlam H. H Morris presidents presidents presidents dents of Mountain Fuel and Sinclair Sinclair Sin Sin- clair Oil Gas respectively At the same time Sinclair announced tt it t had completed a agas agas agas gas contract with Tt d Oil Co of Los Angeles for forthe forthe forthe the purchase of gas from the Bryson ryson Canyon Unit which has substantial producing properties In the Bryson ryson Canyon field Immediately immediately Im im- im mediately to the southwest of the San Arroyo field The Mesa Pipeline Co a new corporation is being formed to tomake tomake tomake make application to the Utah Public Service Commission for authority to build and operate gathering systems In n the San Arroyo and Bryson Bryson- ryson t Canyon areas and pipeline facilities to transport the gas to a point on Mountain Fuels Fuel's main transmission transmission sion line some 60 miles to the north in Uintah County Line size has not been determined determined deter deter- mined but it lt will be adequate to permit inclusion lon of large quantities of gas from other fields in the general San Arroyo and Bryson ryson Canyon areas Target date for completion of the gathering systems and connecting connecting con con- line and delivery of gas has been set for November 1962 Mountain Mountain- Fuel Supply will transport the gas to the general Salt Lake City area ea where the company serves large industrial consumers consumers- and has substantial domestic distribution systems Sinclair which owns more more than 90 per cent of the San Arroyo Arroyo Ar Ar- royo field has completed six gas wells in n the field including four dual producers The San i Arroyo unit Includes nearly 12 acres Tl The e agreement bet between wee n I Mountain Fuel and Sinclair will provide a market for shut shut shut-In in ingas gas reserves spur exploratory and development drilling In eastern Utah and provide substantial sub sub- reserves for Utah's rapidly rapIdly rapidly rap- rap Idly expanding Industrial and domestic markets The intrastate sale does not require Federal Power Commission Commission Commis Commis- sion slon approval but is contingent upon obtaining a certificate from the Utah Public Service Commission |
