Back to Headlines Print Version Buzz Up Stumble it Tweet it Facebook LinkedIn

Capping Risk To Be Removed For UK-Belgium Gas Shippers

LONDON -(Dow Jones)- The company that operates the gas pipeline that links the U.K. to Belgium said Tuesday it plans to end capping of nominations during low- flow periods.

Under current rules, nominations in the opposite direction to physical flow may be reduced or capped during low-flow periods.

Typically, nominations may be capped for several hours until a flow transition decision is made. This uncertainty can be enough to dissuade shippers from nominating gas flows.

Interconnector U.K. Ltd. said it has made changes to manage the timing of physical flow direction to ensure nominations aren't disrupted.

"We want to give the market the confidence nominations will be met, in full, whatever the flow rate and direction of flow through the Interconnector," said Sean Waring, managing director of the operating company.

The pipeline's status is at U.K. gas export to Belgium, according to the company's Web site.

The U.K.-Belgium interconnector is able to transport 20 billion cubic meters a year of natural gas from Bacton in the U.K. to Zeebrugge, Belgium.

Company Web site: www.interconnector.com

-By Angela Henshall, Dow Jones Newswires; +44 (0)20 7842 9285; angela.henshall@dowjones.com

  (END) Dow Jones Newswires
  11-03-090649ET
  Copyright (c) 2009 Dow Jones & Company, Inc.