99--FY 2012 Invitation For Offers - Federal Natural Gas Liquid

INVITATION FOR OFFER FEDERAL NATURAL GAS LIQUIDS IFO NO. BLM-2013-CHEU-001 January 2013 through December 2013 Introduction The Bureau of Land Management (BLM), Amarillo Field Office (AmFO), Department of Interior (DOI) requests written offers to purchase Federal Natural Gas Liquids (NGL) produced from the Cliffside Helium Enrichment Unit (CHEU). The BLMs CHEU is located in Potter County, Texas, near the city of Amarillo. The BLM seeks to enter a NGL transportation and sales agreement for NGL volumes that will be advertised and renewed annually. The NGL will be available at the tailgate of the Cliffside Helium Extraction unit. The BLM will produce helium and natural gas in a combined stream from the Bush Dome Helium Storage Reservoir in Potter County, Texas, and separate the products at the CHEU. The reservoir is about 15 miles northwest of Amarillo, Texas. The BLM will store the NGL on site for pick up via truck transport by the successful bidder of this agreement. Buyer is responsible for all transportation costs. The BLM estimates the NGL volumes from CHEU will average 1,000 to 3,000 gallons per day, and will remain relatively steady through the 6- to 7-year life of this project. Pricing of NGL will be based upon current market values tied to a common spot market (such as Conway, Kansas NGL Trading Hub) and the quality of the NGL. The NGL at the pickup point is a non-fractionated liquid byproduct. To acquire the full details for applying go to: http://www.blm.gov/nm/amarillo