Union Gas announces open season for new service to meet needs of the Ontario power market



    CHATHAM, ON, April 16 /CNW/ - To meet the growing needs of Ontario's
natural gas fired generation market, Union Gas Limited is holding a binding
open season for a new Downstream Pipeline Balancing (DPB) storage service. DPB
service -- designed specifically for natural gas power producers -- offers a
firm park and loan service at Parkway that can be accessed on a short notice
basis. The new service will be available as early as July, 2008.
    The DPB service is tailored for power customers that have large, volatile
gas demands, downstream of Union Gas -- primarily on TransCanada Pipeline's
(TCPL) system. The DPB service is designed to integrate seamlessly with TCPL's
Short-Notice Firm Transportation (FT-SN) service.
    DPB is Union's fourth new service introduced to serve the needs of
natural gas power producers since 2006, following last year's open season for
High Deliverability Storage and two new, flexible, short notice balancing
services -- Upstream Pipeline Balancing and Firm All Day Storage (F24-S).
Union Gas is investing in storage deliverability infrastructure in Ontario to
provide these services. The DPB service offering is based on forbearance from
storage regulation by the Ontario Energy Board as decided in their 2006
Natural Gas Electricity Interface Review.
    "Union Gas is proactively responding to the requirements of the Ontario
power market for new gas services." said Steve Baker, vice-president of
business development and commercial accounts, Union Gas Limited. "The DPB
service, along with our other new Dawn-based storage services will provide
additional customer flexibility in managing their intra-day balancing and gas
requirements on very short notice - integrating the value at Dawn with end use
power plant requirements."

    
    Open Season Contact

    The open season closes Tuesday, April 24, 2007. Those wishing additional
information on the open season should visit Union's website
www.uniongas.com/openseason or contact their sales representative or:

    Carol Cameron                      Wayne Passmore
    Union Gas Limited                  Union Gas Limited
    519-436-5258                       519-436-5356
    ccameron@uniongas.com           wpassmort@uniongas.com
    

    Union Gas is an integrated natural gas storage, transmission and
distribution company serving about 1.3 million residential, commercial and
industrial customers in more than 400 communities in northern, southwestern
and eastern Ontario. The company also provides storage and transportation
services to other utilities and energy market participants in Ontario, Quebec
and the United States. Union Gas is a Spectra Energy company.
    Spectra Energy Corp (NYSE:   SE) is one of North America's premier pure
play natural gas midstream companies serving three key links in the natural
gas value chain: gathering and processing, transmission and storage and
distribution. For close to a century, Spectra Energy and its predecessor
companies have developed critically important pipelines and related energy
infrastructure connecting natural gas supply sources to premium markets. Based
in Houston, Texas, the company operates in the United States and Canada
approximately 17,500 miles of transmission pipeline, 265 billion cubic feet of
storage, natural gas gathering and processing, natural gas liquids operations
and local distribution assets. Spectra Energy Corp also has a 50 percent
ownership in DCP Midstream, one of the largest natural gas gatherers and
processors in the United States. Visit www.spectraenergy.com for more
information.





For further information:

For further information: Andrea Stass, Phone: (519) 436-5490


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