DTE Energy 2014 Annual Report Download - page 13

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Gas Storage and Pipelines controls two natural gas storage fields, intrastate lateral and intrastate gathering pipeline systems, and has ownership interests
in two interstate pipelines serving the Midwest, Ontario and Northeast markets. The pipeline and storage assets are primarily supported by long-term, fixed-
price revenue contracts.
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The Gas Storage and Pipelines business holds the following property:
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Vector Pipeline
40%
348-mile pipeline connecting Chicago, Michigan and Ontario market centers
IL, IN, MI & Ontario
Millennium Pipeline
26%
182-mile pipeline serving markets in the Northeast
NY
Bluestone Lateral
100%
47.5-miles of installed pipeline delivering Marcellus Shale gas to Millennium
Pipeline and Tennessee Pipeline
PA & NY
Susquehanna gathering system
100%
Gathering system delivering Southwestern Energy's Marcellus Shale gas
production to Bluestone Lateral
PA
Michigan gathering systems
100%
Gathers production gas in northern Michigan
MI
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Washington 10
100%
75 Bcf of storage capacity
MI
Washington 28
50%
16 Bcf of storage capacity
MI
The assets of these businesses are well integrated with other DTE Energy operations. Pursuant to an operating agreement, DTE Gas provides physical
operations, maintenance, and technical support for the Washington 10 and 28 storage facilities and for the Michigan gathering systems.
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The Gas Storage and Pipelines business operates natural gas storage facilities in Michigan as intrastate facilities regulated by the MPSC and provides
intrastate storage and related services pursuant to an MPSC-approved tariff. We also provide interstate services in accordance with an Operating Statement on
file with the FERC. Vector and Millennium Pipelines provide interstate transportation services in accordance with their FERC-approved tariffs. In
Pennsylvania, our gathering and pipeline assets are subject to the rules and regulations of the Pennsylvania Public Utility Commission. Bluestone Lateral is
regulated as a transmission line in the state of New York by the New York Public Service Commission.
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Our Gas Storage and Pipelines business expects to continue its steady growth plan by expanding existing assets and developing new assets that are
typically supported with long−term customer commitments. We have competition from other pipelines and storage providers. The Gas Storage and Pipelines
business focuses on asset development opportunities in the Midwest−to−Northeast region to supply natural gas to meet growing demand. Much of the growth
in demand for natural gas is expected to occur in the Eastern Canada and the Northeast U.S. regions. We believe that the Vector and Millennium Pipelines are
well positioned to provide access routes and low−cost expansion options to these markets. In addition, we believe that Millennium Pipeline is well
positioned for growth in production from the Marcellus shale, especially with respect to Marcellus production in Northern Pennsylvania. Gas Storage and
Pipelines has an agreement with Southwestern Energy Production Company to support its Bluestone Lateral and Susquehanna gathering system. We expect
to continue steady growth in the Gas Storage and Pipelines business and are evaluating new pipeline and storage investment opportunities that could include
additional Millennium and Vector expansions and laterals, Bluestone compression and laterals, Susquehanna gathering expansions, and other
Marcellus/Utica shale midstream development or partnering opportunities, such as the proposed Nexus pipeline. Our operations are dependent upon a limited
number of customers, and the loss of any one or a few customers could have a material adverse effect on the Gas Storage and Pipelines business.
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