CALGARY-based pipeline operator TC PipeLines (TCPL) has closed its acquisition of Sierra Pacific Resources' 50% interest in Tuscarora Gas Transmission Co for approximately $100 million, and has also indirectly assumed $37 million of Tuscarora debt. TCPL now owns or controls 99% of Tuscarora, while TransCanada Corporation, its parent company, indirectly holds a 1% interest. Tuscarora owns a 384-km long, 20-in diameter, US interstate pipeline system with a capacity of approximately 180m cuft/d. The system originates at an interconnection point with existing facilities of TransCanada's Gas Transmission Northwest System near Malin, Oregon, and runs SE through NE California and NW Nevada, terminating near Wadsworth, Nevada. Tuscarora has firm transportation contracts for over 95% of its available contracted capacity: a subsidiary of Sierra Pacific Resources holds contracts representing 69% of the total available capacity, the majority of which expires on 31 October, 2017. A TCPL subsidiary will become the operator of Tuscarora, which is currently operated by an affiliate of Sierra Pacific Resources. TransCanada has provided gas control services for the Tuscarora pipeline system since late 2002. The Tuscarora acquisition follows TCPL's in April of an additional 20% of Northern Border Pipeline Co, operator of the 1998-km long interstate pipeline that transports gas from the Montana-Saskatchewan border to markets in the US midwest. The company is a leading transporter of natural gas imported from Canada into the US.


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