MoGas Pipeline LLC Announces Filing of FERC Rate Case
01 June 2018 - 6:37AM
Business Wire
MoGas Pipeline LLC (“MoGas”), a subsidiary of CorEnergy
Infrastructure Trust, Inc. (“CorEnergy”), today announced it has
filed a general rate case before the Federal Energy Regulatory
Commission (“Commission”).
MoGas’ proposed change in base rates seeks to:
- Recover increases in capital, operating
and maintenance expenditures incurred, including those necessary to
comply with increasingly stringent federal and state regulatory
mandates;
- Mitigate for the substantial decrease
in volumes due to the loss of a firm transportation contract with a
St. Louis natural gas marketing entity;
- Mitigate for the substantial decrease
in revenue from its largest customer, Spire Missouri East; and
- Reflect changes in the corporate income
tax rate associated with the 2017 Tax Cuts and Jobs Act.
MoGas has proposed the rate increase to be effective July 1,
2018 but anticipates the Commission will follow its normal practice
and issue an order in late June, suspending the effective date of
the increased rates to December 1, 2018. This will allow the
requested rates to go into effect at that time, subject to refund.
MoGas anticipates the proposed revenue requirement would be
approximately $20 million annually.
“MoGas responds diligently to the requirements of the Pipeline
and Hazardous Material Safety Administration of the U.S. Department
of Transportation but has not filed a rate case since 2009 to
address increasing expenses,” said Cy Zebot, Vice President of
Business Development and Regulatory Affairs. “Our core business is
to build and maintain the infrastructure necessary to deliver
natural gas in a safe, reliable and cost-efficient manner to our
customers in eastern and southern Missouri and increased revenues
will support these commitments into the future.”
The full case filing can be found on the Commission's website at
http://elibrary.FERC.gov/idmws/file_list.asp?accession_num=20180531-5348.
About MoGas Pipeline LLC
MoGas owns an approximately 263-mile FERC regulated interstate
natural gas pipeline system in the St. Louis area and in central
Missouri that delivers natural gas to both investor-owned and
municipal local distribution systems, having pipeline receipt and
delivery interconnects with REX, PEPL and MRT.
About CorEnergy Infrastructure Trust, Inc.
CorEnergy Infrastructure Trust, Inc. (NYSE: CORR, CORRPrA), is a
real estate investment trust (REIT) that owns essential energy
assets, such as pipelines, storage terminals, and transmission and
distribution assets. We receive long-term contracted revenue from
operators of our assets, primarily under triple-net participating
leases. For more information, please visit corenergy.reit.
Forward-Looking Statements
This press release contains certain statements that may include
"forward-looking statements" within the meaning of Section 27A of
the Securities Act of 1933 and Section 21E of the Securities
Exchange Act of 1934. All statements, other than statements of
historical fact, included herein are "forward-looking statements."
Although CorEnergy believes that the expectations reflected in
these forward-looking statements are reasonable, they do involve
assumptions, risks and uncertainties, and these expectations may
prove to be incorrect. Actual results could differ materially from
those anticipated in these forward-looking statements as a result
of a variety of factors, including those discussed in CorEnergy's
reports that are filed with the Securities and Exchange Commission.
You should not place undue reliance on these forward-looking
statements, which speak only as of the date of this press release.
Other than as required by law, CorEnergy does not assume a duty to
update any forward-looking statement. In particular, any
distribution paid in the future to our stockholders will depend on
the actual performance of CorEnergy, its costs of leverage and
other operating expenses and will be subject to the approval of
CorEnergy's Board of Directors and compliance with leverage
covenants.
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version on businesswire.com: https://www.businesswire.com/news/home/20180531006475/en/
CorEnergy Infrastructure Trust, Inc.Investor
RelationsLesley Schorgl, 877-699-CORR (2677)info@corenergy.reit
CorEnergy Infrastructure (NYSE:CORR)
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