X hits on this document

PDF document

Edgar Filing: TIDELANDS OIL & GAS CORP/WA - Form 10-K - page 26 / 83

303 views

0 shares

0 downloads

0 comments

26 / 83

Edgar Filing: TIDELANDS OIL & GAS CORP/WA - Form 10-K

gas. Reef volumes of facilities required to

Ventures,

L.P.

will

simply

natural

gas

required

for

which reach

will be interconnected these potential markets.

continue to transport

the

additional

these

markets

through

its

existing

in Mexico to the new pipeline that is Management believes the timeline for

the initiation of construction be a 2007 event. The increased

for such pipeline project in volume for the Reef Ventures

Mexico is pipeline

likely to from such

an event would gas currently t users would be feasibility st final decision is a risk that are deemed to b

event,

the

exp

approximate 2-3 aken by the local

times the distributi

a brewery

and

bottling opera

udies for

the

construction a

has the

been made concerning the

facilities

will

never

b

e more ected

advantageous for the growth in volumes for

materialize.

I

that

increasin

n g

addition volumes

to these potentia

of

natural

gas

facilities. nomination

In 2005, scheme, the

which was the fi Reef Ventures pipel

baseload volume Piedras Negras.

(and none of the

We

believe

that

swing vol if given

entire baseload of demand on company, CONAGAS.The e tion. While these entities nd operation of their busi

building of these facilit e built because other site location of these faciliti

the Reef Ventures

pipeli

l

developments,

manageme

can

be transported

in it

nal

year of a two

year

ine

was

carrying

only

half

ume)

being

transported

to

adequate supplies, the Re

for natural xpected end have begun nesses, no ies. There s in Mexico es. In that ne will not nt believes s existing contractual the actual CONAGAS in ef Ventures

  • -

    22-

pipeline can transp CONAGAS which wou pipeline. Negotiat planned natural ga Coahuila has been and Mexico and the Mexico. It appea transportation fee purchased in Texas

PEMEX.

This

cost

incurr

arm of future

ort all t ld resul ions are s liquid re-evalua subsidy

rs

that

business and re-so

determi ed on the

he current base

load

t in a doubling

of

currently

underway

and the swing requirements volumes and revenues for to achieve that objective.

of the The

scheme

for LPG

and natural

gas

currently in

use

in

the

project

will

need

to

be developed

as

a

Negras, in Texas

line between ted in light

Eagle Pass,

Texas and Piedras

of

new

supply

sources

emerging

model ld in a nation

instead of a merchant

direct contract with was made in order to

facility where LPG is

the propane

reduce

the

importation risk of any

LPG

project.

Management

will

continue

to

seek

a

transportation project.

contract which would support

development

and operation of this

Sonterra the resi acquisiti of Austin meter ho new meter several c for home the exis agreement

Energy Corporation, dential propane di on of 850 existing c , Texas. At Decemb okups to 1,067 and i

hookups in 2006.

S

entral

Texas

locatio

heating

and

applianc

ting

subdivisions

s

with

the

developer

a wholly owned subsidi stribution business ustomers located in 15 er 31, 2005, Sonterra s expecting a 15% rate onterra's existing an ns that do not have ac e usage. Current expa is possible. Sonterr s of Cordillera Ranch

to expand the

serviced lots

negotiations

with developers

lots becoming

available for i

nstallation

of

residen

by

an

additional

1,

in

our

trade area

wil

vicini

ty.

primari

ly

nearby

central Texas

higher

than projected

f

Revenue

growth

due

to

unit

growth

applied to product business unit comes

sold.

The principal

risk in

from a

slowing in the

absorptio

ary of Tidelan

ds entered into

on November 1

, 2004 with its

subdivisions

in the vicinity

had increase

d its number of

of increase i

n the number of

d future marke

t area includes

cess to natura

l gas as a fuel

nsion of over

600 lots within

a has also ent

ered into a new

and Northshore

at Lake Travis

500 units ove

r time. Active

l likely resul

t in additional

tial propane

delivery in the

rom propane so

ld was $250,000

as opposed the growth n rate for

to price increases picture for this developed lots due

to the interest rate cycle. the subdivisions served.

This

in

turn

would

slow

the

rate

of

meter

hookups

in

Sonora Pipeline LLC will own and operate the U.S.

(Texas)

pipeline

segments to

be constructed terminal and gas

in connection

with the

storage

projects

which

Mexican pipeline, will interconnect

international

pipeline

crossings

in

Hidalgo

County,

Texas

.

LNG regasification to the U.S. via two Management will be

filing

with

the Federal Energy

Regulatory

these

new

pipelines

and

for

the granting

Commission for permission to

of

presidential

permits

operate for the

26

Document info
Document views303
Page views303
Page last viewedSun Dec 04 12:58:26 UTC 2016
Pages83
Paragraphs15149
Words37471

Comments