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Connection NORTHWEST Spring 2015 Plymouth Update ............................. 2 Kalama Lateral Project .................... 2 Executive Profile – Walt Bennett ..... 3 Right on Target – Energy Insights Customer Survey ............................. 4 Mastio Survey Results Are In .......... 4 Winter Recap ................................... 5 Mutual Assistance Agreement ......... 7 Safety Corner ................................... 7 Retirement News ............................. 8 Plymouth Update It has been over a year since the March 31, 2014, incident at the Plymouth Plant. Reconstruction of the plant is progressing in phases in order to restore service as soon as possible while minimizing impacts to Northwest’s customers. Read the full story on page 2. Kalama Lateral Project On October 27, 2014, Northwest Pipeline LLC (“Northwest”) filed a 7(c) application in Docket No. CP15-8-000 with the Federal Energy Regulatory Commission (“FERC”) requesting a Certificate of Public Convenience and Necessity to construct, operate and maintain the Kalama Lateral Project. Read the full story on page 2. Executive Profile – Walt Bennett As of January 1, 2015, Walt Bennett has assumed the role of Senior Vice President of Williams’ West Operating Area. Walt has relocated to the Salt Lake City area to oversee Northwest Pipeline and Williams’ gathering and processing facilities in Colorado, Wyoming and the Four Corners. He succeeded Allison Bridges who retired after 33 years with Williams. Read the full story on page 3. Contact Marketing Hotline 801-584-7301 Scheduling Desk 801-584-7229 Informational Links Williams Connect Newsletter FERC Watch – Under Regulatory NAESB News – Under Regulatory Inside view of Tank 1 at the Plymouth Plant.

Cnnectin NRTHWEST - northwest.williams.com · He succeeded Allison Bridges who retired after 33 years with Williams. ... in Cowlitz County, ... from the University of Wisconsin-Madison

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ConnectionNORTHWEST

Spring 2015

Plymouth Update ............................. 2

Kalama Lateral Project .................... 2

Executive Profile – Walt Bennett ..... 3

Right on Target – Energy Insights

Customer Survey ............................. 4

Mastio Survey Results Are In .......... 4

Winter Recap ................................... 5

Mutual Assistance Agreement ......... 7

Safety Corner ................................... 7

Retirement News ............................. 8

Plymouth Update It has been over a year since the March 31, 2014, incident at the Plymouth Plant. Reconstruction of

the plant is progressing in phases in order to restore service as soon as possible while minimizing

impacts to Northwest’s customers.

Read the full story on page 2.

Kalama Lateral Project On October 27, 2014, Northwest Pipeline LLC (“Northwest”) filed a 7(c) application in Docket

No. CP15-8-000 with the Federal Energy Regulatory Commission (“FERC”) requesting a Certificate

of Public Convenience and Necessity to construct, operate and maintain the

Kalama Lateral Project.

Read the full story on page 2.

Executive Profile – Walt BennettAs of January 1, 2015, Walt Bennett has assumed the role of Senior Vice President of Williams’ West Operating Area.

Walt has relocated to the Salt Lake City area to oversee Northwest Pipeline and Williams’ gathering and processing

facilities in Colorado, Wyoming and the Four Corners. He succeeded Allison Bridges who retired after 33 years

with Williams.

Read the full story on page 3.

ContactMarketing Hotline801-584-7301

Scheduling Desk801-584-7229

Informational Links Williams Connect Newsletter

FERC Watch – Under Regulatory

NAESB News – Under Regulatory

Inside view of Tank 1 at the Plymouth Plant.

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2

Plymouth Update It has been over a year since the March 31,

2014, incident at the Plymouth Plant.

Reconstruction of the plant is progressing in

phases in order to restore service as soon

as possible while minimizing impacts to

Northwest’s customers.

During 2014, we repaired the damaged

pipeline and compression facilities at the

Plymouth compressor station; restored the

utility systems and safety systems at the LNG

plant; restored the boil-off gas system to

recycle the boil-off gas back into the Northwest

system; and restored vaporization capacity of

150,000 Dth/d of LNG into Northwest’s system.

In late November we received delivery of

the LNG 2 adsorbers, a component of the

liquefaction facilities for LNG 2. The adsorbers

and associated liquefaction facilities have been

installed, tested and commissioned. We will

liquefy gas into LNG Tank 2 (“Tank 2”) and

when filled, we’ll liquefy gas into LNG Tank 1

(“Tank 1”) when it is ready for service.

Once Tank 1 is in service, the plant will be

capable of vaporizing the full 305,300 Dth/d

into its mainline.

There are two LNG tanks at the Plymouth

facility, which each hold approximately 1.2 Bcf

of liquefied natural gas. The LNG tanks are

approximately 97 feet tall on the inside and

consist of an inner wall and an outer wall on

the outside of the tank. There is approximately

five feet of space between the inner wall and

the outer wall, which is filled with insulating

material (called perlite) and resilient blankets.

Tank 1 was hit with flying debris during the

incident; a large piece of metal approximately

2' x 5' pierced the outer wall of the tank and

lodged itself between the inner and outer walls.

In order to determine the integrity of Tank 1, we

prepared to enter the tank for inspection. LNG

was transferred from Tank 1 to Tank 2. Then

the tank was purged with nitrogen to warm up

the tank and then purged with air to allow for

access into the tank. The insulating materials

were removed from the space between

the inner and outer wall. Contractors and

employees were permitted to enter the tank

last November. Scaffolding was erected in the

inner tank to inspect the integrity of the wall.

The investigation of the tank provided favorable

results, and Tank 1 is in excellent shape. The

debris created a small dent in the inner tank

approximately 4" x 6", which did not require it

to be cut out and replaced. Additionally, two

minor anomalies were repaired. The hole in the

outer tank has been patched, and insulation

is being installed between the inner and outer

tank. Once the insulation is installed, the tank

will be sealed up, cooled down and placed

back in service. We estimate that Tank 1 will be

back in service by mid-May.

The Plymouth Team will spend the remainder

of 2015 engineering, designing and

constructing the liquefaction facilities for

Tank 1. We anticipate the Plymouth Plant will

be fully operational by April 2016.

Kalama Lateral ProjectOn October 27, 2014, Northwest Pipeline LLC

(“Northwest”) filed a 7(c) application in Docket

No. CP15-8-000 with the Federal Energy

Regulatory Commission (“FERC”) requesting

a Certificate of Public Convenience and

Necessity to construct, operate and maintain

the Kalama Lateral Project (“Project”).

The proposed project consists of installing

approximately 3.1 miles of 24-inch diameter

pipeline and a corresponding meter station.

The project will extend from Northwest’s

mainline at milepost 1,254 to a proposed

methanol production facility located within the

Port of Kalama, in Cowlitz County, Washington.

The project will provide up to 320,000

dekatherms per day of firm transportation from

Northwest’s mainline to the delivery meter at

the Port of Kalama.

Northwest Innovation Works, LLC (“NWIW”)

is the customer proposing to locate facilities

that will manufacture methanol from natural

Continued on page 3.

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3

Kalama Lateral Project (continued) gas at the Port of Kalama. The methanol will

be exported to Asia, where it will replace less

environmentally friendly processes (oil and

coal based) to produce a range of plastics and

materials contained in common household

goods. NWIW’s plans at the Port of Kalama are

part of a larger plan to locate multiple methanol

plants in the Pacific Northwest.

The FERC scoping period for the project

ended February 12, 2015. Since filing the

application for the project, we’ve responded to

two sets of data requests (dated December 23,

2014, and February 5, 2015) issued by FERC.

We expect FERC to issue a draft environmental

assessment for the project in the third quarter

of 2015. The overall project schedule is on

track for a late 2018 in-service date.

Executive Profile – Walt BennettAs of January 1, 2015, Walt Bennett has

assumed the role of Senior Vice President

of Williams’ West Operating Area. Walt has

relocated to the Salt Lake City area to oversee

Northwest Pipeline and Williams’ gathering

and processing facilities in Colorado, Wyoming

and the Four Corners. He succeeded Allison

Bridges, who retired after 33 years with Williams.

Walt has extensive industry experience. Before

assuming his new role, he served as Senior

Vice President – Western Operations at Access

Midstream, where he managed the Anadarko,

Mid-Continent, Niobrara, Barnett, Permian,

Eagle Ford and Haynesville Operating Areas.

Prior to that, he was Chief Operating Officer

of Chesapeake Midstream Development.

Before joining Chesapeake, Walt served as

Senior Vice President-Operations at Boardwalk

Pipeline Partners in Houston, Texas, and held a

variety of senior positions at Gulf South Pipeline

Company. He began his career at a subsidiary of

Koch Industries in Gary, Indiana. Walt earned a

Bachelor of Science in Mechanical Engineering

from the University of Wisconsin-Madison in

1992 and a Master of Business Administration

from Louisiana State University in 2004.

Of all the places that Walt has lived, his favorite

so far is Utah! He is very excited to be here, close

to nice golf courses and great places to ride his

bike, hike and ski. His wife of 15 years, Sandy,

has been equally excited about moving to Utah

and setting up their residence in Park City.Walt Bennett – New Senior Vice President of Williams’ West Operating Area

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4

and forthright communication; and timely

and accurate responses on the Help Line/

Scheduling Desk. Northwest Passage and

Northwest’s website ratings increased by 7%,

reflecting the ongoing focus and hard work

spent on enhancing a user’s online experience

of Passage.

Some of the lowest-rated factors were:

1) building meter stations and pipeline

facilities on time and on budget; 2)

representatives that understand the needs

and challenges of your business; and 3)

representatives that use creative strategies

to meet your service requirements.

Three action teams have been formed this

year to focus on those three areas. The team

focused on meter stations will implement

improvements to the communication process

with customers before, during and after

construction and will explore strategies for

cost reductions. The team focused on better

understanding the needs of customers will

On Dec. 2, Wayne Rechnitz of Energy Insights

gave Williams Northwest Pipeline the results

from its 2014 bi-annual customer satisfaction

survey. Williams received its highest

performance score of 8.9 (slightly higher than

in 2012) on a 10-point scale. While Williams

is proud of these results, the true value of

the survey is in identifying opportunities for

improvement. Energy Insights surveyed

63 participants from 28 different organizations.

The survey asked respondents to rate Williams

on 20 factors encompassed in the four

categories of: Quality of Service, Quality of

Communication, Quality of Operations and

Quality of Product-Related Services.

More than 86% of its customers find that

Northwest Pipeline provides better or much

better service than its competitors. The

highest-rated factors were in the area of

communication. Northwest continues to excel

in providing timely and accurate information

regarding: gas moved on its system; honest

Right on Target – Energy Insights Customer Survey

focus on training that provides “deep dives”

into the business needs of various customers,

as well as providing customized Passage

training with customers designed to meet their

specific business needs. The team focused

on developing creative strategies will be

developing written proposals in response to

customer requests that demonstrate creative

strategies. Northwest understands your time

is valuable and appreciates your efforts in

responding to the survey. We also appreciate

your frank comments on where we need

to focus our efforts. We are committed to

addressing your concerns through win-win

solutions for everyone. Thank you again for

your participation and continued support.

third place. Northwest also moved up to fourth

place among 41 pipelines in the Interstate

Customer Satisfactory Index.

Northwest Pipeline commissions this survey

every other year. This year, we didn’t have

access to the details that would allow us to

develop an action plan specific to this survey.

However, it does serve to validate the results

Mastio results are in! We’re proud to

announce that Northwest Pipeline has once

again exceeded the industry benchmark

for performance in relationship to its peers.

Northwest Pipeline retained second place in

the Mega pipeline category out of 16 pipelines.

In the Major Pipeline Category, Northwest

Pipeline advanced to second place out of 23

pipelines, which is a step up from last year’s

Mastio Survey Results Are Inof our Energy Insights survey. Thank you

to all of our customers who participated in

Mastio’s 2015 Natural Gas Pipeline Survey.

We appreciate your letting us know how we

compare with our peers.

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55

The 2014-15 winter season in the Pacific

Northwest was mild compared to average

seasonal temperatures, with the exception

of 2-3 weeks of below-normal temperatures

in November and December. Each of those

cold episodes was followed by extremely mild

temperatures. Northwest Pipeline did not

have to issue any entitlements or OFOs this

winter. Swings on Northwest’s Jackson Prairie

account were severe at times, but were always

followed by immediate swings in the opposite

direction, keeping Northwest’s account at

manageable levels. Below are highlights

spotlighting Jackson Prairie and weather, flow

patterns and prices from this past winter.

Jackson Prairie and Weather

November’s weather started warmer than

normal across the western part of the U.S.

Winter Recap

Continued on page 6.

The week of November 7 started a 10-day

cold snap. Customers withdrew 3.3 Bcf of gas

from storage during the cold spell. Immediately

following was a 9-day period of above-average

temperatures, and customers put 2.8 Bcf of

gas back into Jackson Prairie. Just before

the Thanksgiving holiday, the Jackson Prairie

facility was almost 100% full. Late November

and early December ended with a very brief

cold spell, in which almost 2.7 Bcf of gas was

again withdrawn from Jackson Prairie.

December was warmer than normal for most

of the month. Interestingly, for 23 days of

December, the facility was actually on net

injections! Almost 3 Bcf was injected back

into Jackson Prairie during this time. The

last cold blast of the winter came between

December 28 and January 4, when 3.7 Bcf

was withdrawn during those 8 days. The rest

of the winter temperatures were at normal or

above normal.

Flow Patterns

Another unique situation this past winter

was the flow patterns on Northwest Pipeline.

Normal winter operations see gas flowing north

all the way into the I-5 corridor, with Sumas

Moab Compressor Station

5,000,000  7,000,000  9,000,000  11,000,000  13,000,000  15,000,000  17,000,000  19,000,000  21,000,000  23,000,000  25,000,000  

3-­‐Mon

th12

 

10-­‐M

onth12

 

17-­‐M

onth12

 

24-­‐M

onth12

 

31-­‐M

onth12

 

7-­‐Mon

th1  

14-­‐M

onth1  

21-­‐M

onth1  

28-­‐M

onth1  

4-­‐Mon

th2  

11-­‐M

onth2  

18-­‐M

onth2  

25-­‐M

onth2  

3-­‐Mon

th3  

10-­‐M

onth3  

17-­‐M

onth3  

24-­‐M

onth3  

31-­‐M

onth3  

Winter  2014-­‐15  JP  ac:vity  compared  with  2013-­‐14  

Working  Gas  Balance  JP  2014-­‐15   Working  Gas  Balance  JP  2013-­‐14  

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6

volumes in the 7–800,000 Dth/d average.

During the winter of 2013–14, Sumas averaged

745,000 Dth/d into Northwest. This year, that

average jumped to just slightly above 1Bcf/d.

Almost 45 Bcf more gas, or an average

of 267,000 Dth/d, flowed from Sumas into

Northwest this winter compared to last. Several

days brought constraints and allocations

through compressors such as Chehalis,

Washougal and as far south as Meacham.

Northwest had almost 50 days where the

volumes were south flow all the way through

the Kemmerer compressor station.

Prices Prices pretty much dictated the flow patterns

on Northwest Pipeline. The past 15 years

saw winter prices in the Rockies much lower

than Sumas, which resulted in constant

northbound flows and in most years, periodic

OFOs through Kemmerer, Plymouth South or

Roosevelt. This year, Sumas was the cheaper

supply location, resulting in southbound flows.

Average prices for the 2013–14 winter season

at Sumas were $5.15 and Rockies $4.76. This

winter, the average prices were $2.97 at Sumas

and $3.04 in the Rockies.

The takeaways from this winter are that

Northwest continues to provide customer

flexibility by managing and using its Jackson

Prairie account in a prudent manner. The

market is always changing, but Northwest is

able to handle these dynamic changes in flow

patterns. Future prices indicate a continued

slow flow pattern for at least the next year.

Winter Recap (continued)

-­‐600,000  

-­‐400,000  

-­‐200,000  

0  

200,000  

400,000  

600,000  

800,000  

1-­‐Month11   1-­‐Month12   1-­‐Month1   1-­‐Month2   1-­‐Month3  

Volumes  Through  Roosevelt  winter    2013-­‐14  vs  2014-­‐15  

2014-­‐15   2013-­‐14   Increasing  Capacity   Decreasing  Capacity  

0  

200,000  

400,000  

600,000  

800,000  

1,000,000  

1,200,000  

1,400,000  

1-­‐Month11   1-­‐Month12   1-­‐Month1   1-­‐Month2   1-­‐Month3  

Volumes  Through  Sumas/Sipi  winter    2013-­‐14  vs  2014-­‐15  

2014-­‐15   2013-­‐14   Throughput  Capacity  

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The Northwest Mutual Assistance (NWMAA)

Agreement is alive and well. The NWMAA

consists of LDCs, pipelines, electric utilities

and industry groups in the Pacific Northwest

who own, operate or control natural gas assets

and have the ability and desire to assist in the

event of an emergency. The objective of the

NWMAA is to encourage its members to work

Mutual Assistance Agreementtogether in an emergency situation to mitigate

the impact of any disruption to the natural gas

supply in the Pacific Northwest.

The NWMAA has an electronic communication

platform that can easily and seamlessly share

a message via phone, text, email or fax. The

communication packages include a contact

list, which is updated annually. There is no limit

to the number of contacts a member company

can include on the list.

The NWMAA meets twice a year, including a

face-to-face meeting annually during the fall

that features a tabletop mock emergency and a

spring conference call to discuss recent winter

operations and NWMAA business issues.

Spectra Energy presented at the last tabletop

in October. They were able to develop a mock

emergency and coordinate with the attendees

to work toward a solution to the emergency.

Together, Jan Caldwell, Northwest Pipeline

Marketing Services Team Lead, and Clay

Riding, Puget Sound Energy Director of

Natural Gas Resources, chair the NWMAA.

Membership and participation in the NWMAA

is voluntary.

Do you have asthenopia?

Have you been having dry eyes, blurry vision,

difficulty focusing your eyes, or headaches?

If you have, you may be suffering

from asthenopia.

Asthenopia, from the Greek word “ασθεν-ωπία” or eyestrain is an ophthalmological

condition that manifests itself through

nonspecific symptoms such as fatigue, pain in

or around the eyes, blurred vision, headache

and occasional double vision. On average,

more than six in 10 adults (60.8%) spend five

or more hours on digital devices each day.

Whether it’s for work or play, using computers,

smartphones, tablets and e-readers, TV

Safety Corneror video games can take a toll on the eyes

and lead to digital eyestrain. Here are a few

suggestions on ways you can alleviate digital

eye strain.

Where to start:

1. Get a comprehensive eye exam. Start by

visiting your medical provider to get an

evaluation of your base-line health. Keeping

up on routine comprehensive eye exams

is key to preventing and treating vision

problems. If you wear glasses, purchase

lenses with anti-reflective (AR) coating. AR

coating reduces glare because it minimizes

the amount of light reflected off the front and

back of surfaces of your lenses.

2. Modify your workstation. When you use

a computer, your ambient light should be

about half as bright as that typically found in

most offices. Purchase ergonomic furniture

Continued on page 8.

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to enable you to position your computer

screen 20 to 24 inches from your eyes. The

center of your screen should be about 10 to

15 degrees below your eyes for comfortable

positioning of your head and neck. Flat-

panel liquid crystal display (LCD) screens

are easier on the eyes and usually have an

anti-reflective surface. One of the easiest

ways to reduce eyestrain while working

on a computer is to adjust the display

settings. First, adjust the brightness of the

display so it’s approximately the same as

the brightness of the surrounding area.

As a point of reference, look at the white

background of a Web page. If it looks like a

light source, it’s too bright. If it seems dull

and gray, it may be too dark. Secondly,

adjust the text size and contrast for comfort.

If you feel like you’re squinting, make the

text bigger.

3. Blink more often. When working at a

computer, people forget to blink. This lack

of usual blinking causes dry eyes. To reduce

your risk of dry eyes, try this exercise:

Every 20 minutes, blink 10 times by closing

your eyes as if you were falling asleep

(very slowly). This will help rewet your eyes.

Another cause of computer eyestrain is

focusing fatigue. To reduce the risk of tiring

your eyes by constantly focusing on your

screen, look away from your computer at

least every 20 minutes and gaze at a distant

object (at least 20 feet away) for at least 20

seconds. Some eye doctors call this the

“20-20-20 rule.” This exercise reduces the

risk of your eyes’ focusing ability to “lock up”

after prolonged computer work.

For more information, visit http://vision.about.

com/od/sportsvision/a/Asthenopia.htm.

Safety Corner (continued)

Retirement News

Mary White has decided to retire after

41 years of service, effective May 1st. Mary has

had a long and successful career at Williams.

She started as a paralegal before joining the

marketing department where she has spent

the majority of her career. In addition to being

a critical member of the marketing team,

Mary has made numerous contributions to

the community during her tenure at Williams.

She has been the face of Williams in serving

the children at Mountain View Elementary for

more than 24 years. Mary has also assisted

in making Williams’ United Way Campaign a

success, especially as chairman of the Chile

Verde Cook-Off, her favorite United Way

fundraiser. She has served as chairman for

Chile Verde for over 13 years and has also

competed and won first place honors for a

year or two. Mary gets very emotional when

she speaks about Williams. She has been

and will always be one of Williams’ greatest

spokespersons.

Mike Rasmuson, Director, Marketing Services,

spoke on behalf of all of us when he stated that

“we will greatly miss Mary and the little things

that she does for us, like encouraging us to

eat healthy and sneaking in early and leaving

treats on our desk. We’re excited for her as

well. She has five grandchildren already and

will soon be a grandma to twin boys, who will

live just blocks from her. On behalf of everyone

at Williams, we wish Mary the best in

her retirement!”Mary White

One of the easiest ways to

reduce eyestrain while working

on a computer is to adjust the

display settings.