Today we are announcing an exciting new partnership for the organization. We'll be the first utility in the state of Colorado to join in an innovative natural gas pilot project that is a collaboration between Project Canary, Kinder Morgan, Bayswater and Rimrock.
Together we’ll purchase Responsibly Sourced Gas (RSG), further diversifying our energy supply and demonstrating our commitment to environmental stewardship. The partnership will reduce the emissions profile of fuels produced and consumed in Colorado.
We are the first utility in Colorado to partner with Project Canary. And this is the first, full value-chain pilot of its kind - including the production, transportation and consumption of RSG – from well head-to-burner tip. It’s exciting that we are at the forefront of exploring the newly-evolving RSG market.
This is a small volume pilot project that will last six months beginning this fall. This is all pending a final agreement on price and delivery, however we are confident a price agreement can be reached without much difficulty.
The pilot project will consist of the following: we will purchase certified RSG produced by Bayswater Exploration & Production, a Colorado-based oil and natural gas development company. The certified RSG will be gathered and processed by Rimrock Energy Partners, a provider of midstream services in the DJ Basin, before being delivered to Colorado Interstate Gas Company, a Kinder Morgan, Inc. subsidiary, which will transport the certified RSG to Colorado Springs Utilities.
Project Canary has partnered with nearly two-dozen large exploration and production, pipeline, and utility companies and deployed its technology across 100 different well pads, including in Colorado, where the state has nation-leading on-site emissions monitoring regulations.
I'm excited to learn more about the Responsibly Sourced Natural Gas market and see how this pilot project will help us further propel our sustainability goals