|Received:||8/25/2009 4:31:25 PM|
|Agency:||Federal Trade Commission|
|Rule:||ConocoPhillips; Docket No. C-4058; Petition to Amend Its Propane Supply Agreement with NGL|
Comments:Propane supplied via ConocoPhillips’s Borger, Texas refinery and its pipeline from Borger to East St. Louis, Illinois is critical in meeting Midcontinent marketplace demands. Within the continental US, the Midcontinent is the largest propane consuming region in part because propane is a safe, clean, highly efficient and portable fuel that has many applications. Uses include home heat, crop drying and other agricultural applications, such as heating livestock buildings, and commercial and industrial applications, such as fuel for forklifts. Given this large and growing demand, the Midcontinent relies on propane supplied from other parts of the country, such as the Borger facility, to meet its needs. Moreover, in periods of high demand the industry’s primary infrastructure cannot physically maintain the necessary supply levels to match demand. Thus, at minimum, current supply levels and distribution points need to be maintained. In addition, supply provided during non-peak demands is crucial in helping secondary and tertiary storage locations build their inventory levels so as to minimize any distribution disruptions during high demand periods. In summary, reducing the propane volumes at ConocoPhillips’s refinery and associated pipeline would adversely impact available supply to the Midcontinent and the Midcontinent marketplace in general. Thank you for your consideration of these comments. Chris Salrin, Propane Product Manager GROWMARK, Inc. Randy Miller, Propane Supply Manager GROWMARK, Inc.