# New Mexico Gas Company — Pipeline Safety Interpretation

- **operation:** document
- **citation:** PI-11-0013
- **title:** New Mexico Gas Company — Pipeline Safety Interpretation
- **source type:** guidance
- **agency:** Pipeline and Hazardous Materials Safety Administration
- **status:** guidance
- **official:** true
- **published on:** 2023-03-13
- **effective on:** Not available
- **summary:** PI-11-0013 response to New Mexico Gas Company concerning 192.3.
- **machine formats:** - **json:** https://regulus.evalyn.ai/document/phmsa-interpretation-pi-11-0013.json
- **markdown:** https://regulus.evalyn.ai/document/phmsa-interpretation-pi-11-0013.md
- **app url:** https://regulus.evalyn.ai/document/phmsa-interpretation-pi-11-0013
- **source url:** https://www.phmsa.dot.gov/sites/phmsa.dot.gov/files/docs/standards-rulemaking/pipeline/interpretations/77146/new-mexico-gas-company-pi-11-0013-05-22-2012-part1923.pdf
**body:**

<<<PAGE 1>>>

U.S. Department
of Transportation
Pipeline and Hazardous
Materials Safety
Administration
1200 New Jersey Avenue, SE
Washington, D.C. 20590
MAY I I 2012
Ms. Deborah Brunt P.E.
Director, Engineering
New Mexico Gas Company
P.O. Box 97500
Albuquerque, NM 87199-7 500
Dear Ms. Brunt:
In a letter to the Pipeline and Hazardous Materials Safety Administration (PHMSA), you asked
for interpretation regarding classification of your pipelines. Specifically, you asked whether the
following four pipelines are transmission or distribution lines.
Your Intel VHP line originates at a regulator station on your Alameda transmission line in the
middle of your Albuquerque Metro distribution center. The Alameda transmission line operates
above 20 percent of the specified minimum yield strength (SMYS) at a gauge pressure of 466
pound per square inch gauge (psig) and the Intel VHP line operates at 175 psig at 5.9 percent of
SMYS. The Intel VHP line delivers gas to the Albuquerque Metro 60 psig distribution system
and to the Intel factory (a large volume customer). All of the gas that travels through the
Alameda transmission line and the Intel VHP line is delivered to customers who purchase the gas
for consumption. You believe that the Intel VHP line is a distribution line because it delivers gas
downstream of the Albuquerque distribution center and does not operate at a hoop stress of
20 percent or more of SMYS.
Your Santa Fe south feed line originates at a regulator station on your Santa Fe transmission line
on the south side ofyour Santa Fe distribution center. The Santa Fe transmission line operates at
above 20 percent SMYS at 600 psig and the Santa Fe South feed line operates at 250 psig or 18.8
percent ofSMYS. The Santa Fe south feed line delivers gas to the Santa Fe 60 psig distribution
system. All ofthe gas that travels through the Santa Fe South feed line is delivered to customers
who purchase it for consumption. You believe that the Santa Fe south feed line is a distribution
line because it delivers gas downstream of the Santa Fe distribution center and does not operate
at a hoop stress of 20 percent or more of SMYS.
Your Gallup east feed starts at the East El Paso Natural Gas transmission line at the Gallup city
gate station. The transmission line operates at 300 psig or 13.7 percent of SMYS. The Gallup
East feed delivers gas to the Gallup 60 psig distribution system. All of the gas that travels
through the Gallup east feed is delivered to customers who purchase it for consumption. You
believe that the Gallup East feed line is a distribution line because it delivers gas downstream of
the Gallup distribution center and does not operate at a hoop stress of 20 percent or more of
SMYS.
The Pipeline and Hazardous Materials Safety Administration. Office of Pipeline Safety provides written clarifications of the Regulations (49 CFR
Parts 190-199) in the form of interpretation letters. These letters reflect the agency's current application ofthe regulations to the specific facts
presented by the person requesting the clarification. Interpretations do not create legally-entorceable rights or obligations and are provided to
help the public understand how to comply with the regulations.

<<<PAGE 2>>>

2
Your Ambrosia Lake line originates at a regulator station on the Grants transmission line on the
north side of your Grants distribution center. The Grants transmission line operates at above 20
percent SMYS of 720 psig and the Ambrosia Lake line operates at 180 psig or 10.1 percent
SMYS. The Ambrosia Lake line delivers gas to the Grants 50 psig distribution system and to
several farm taps. All ofthe gas that travels through the Ambrosia Lake line is delivered to
customers who purchase it for consumption. You believe that the Ambrosia Lake line is a
distribution line because it delivers gas downstream ofthe Grants distribution center and does
not operate at a hoop stress of 20 percent or more of SMYS.
We contacted you with a request to provide us with mileage information of these pipelines and
you responded with an October 12, 201 L email. Also, we were able to get the information from
the New Mexico Public Regulation Commission. The responses regarding the pipelines are as
follows:
The Intel VHP line begins at a regulator station on New Mexico Gas Company's (NMGC's)
Alameda transmission line where pressure is reduced from 466 psig to 175 psig. The pipeline
runs approximately 1.1 miles to a regulator station located at Intel Corporation where it delivers
natural gas to Intel's manufacturing facility (a large volume customer) and the Albuquerque
Metro 60 psig distribution system. The pipeline has no service lines or farm taps upstream of its
delivery to Intel's manufacturing facility and the natural gas distribution system.
The Santa Fe South feed line begins at a regulator station on NMGC's Santa Fe transmission line
where pressure is reduced from 600 psig to 250 psig. The pipeline runs approximately 11 miles
to a regulator station on the south end of Santa Fe where pressure is reduced to 60 psig to supply
the Santa Fe distribution system. This pipeline segment was part of the Santa Fe transmission
line and operated at 600 psig until a loop/bypass line was installed a couple of years ago. The
pipeline has no service lines upstream of its delivery to the Santa Fe distribution system.
The Gallup east feed begins at NMGC's East Gallup El Paso Natural Gas Company's PNG
backup regulator station at EPNG's transmission line and transports natural gas from the EPNG
transmission line to NMGC's East Gallup border regulator station. NMGC's primary supply for
the Gallup distribution system is its Gallup/Grants mainline which delivers natural gas at the East
Gallup border regulator station. This pipeline serves as a back-up supply and also delivers
natural gas at the East Gallup border regulator station. The pipeline has no service lines or farm
taps upstream of its delivery to the East Gallup border regulator station.
The Ambrosia Lake line begins at a regulator station on NMGC's Gallup/Grants transmission
line where pressure is reduced from 720 psig to 180 psig. The pipeline transports natural gas
approximately 27 miles to NMGC's grants distribution system where pressure is reduced to
50 psig.
The Pipeline and Hazardous Materials Safety Administration. Ot1lce of Pipeline Safety provides written clarifications of the Regulations
(49 CFR Parts 190-199) in the tonn of interpretation letters. These letters reflect the agency's current application of the regulations to the
specific facts presented by the person requesting the clarification. Interpretations {]o not create legally-enforceable rights or obligations and
are provided to help the public understand how to comply with the regulations.

<<<PAGE 3>>>

3
The definition for "transmission line" per§ 192.3 is reprinted below:
Transmission line means a pipeline, other than a gathering line, that:
(1) Transports gas from a gathering line or storage facility to a distribution center,
storage facility, or large volume customer that is not down-stream from a
distribution center;
(2) Operates at a hoop stress of 20 percent or more of SMYS; or
(3) Transports gas within a storage field.
NOTE: A large volume customer may receive similar volumes of gas as a
distribution center, and includes factories, power plants, and institutional users of
gas.
Based on the information you and the New Mexico Public Regulation Commission provided, we
believe that these pipelines downstream of the custody transfer point between the interstate
transmission pipeline and the local distribution company are distribution lines. I hope that this
information is helpful to you. If I can be of further assistance, please contact me at
(202) 366-0434.
Sincerely,
Director, Office of Standards
and Rulemaking
cc: New Mexico Public Regulation Commission
The Pipeline and Hazardous Materials Safety Administration, Office of Pipeline Safety provides written clarifications of the Regulations
( 49 CFR Parts 190-199) in the form of interpretation letters. These letters reflect the agency's current application of the regulations to the
specific facts presented by the person requesting the clarification. Interpretations do not create legally-enforceable rights or obligations and
are provided to help the public understand how to comply with the regulations.

<<<PAGE 4>>>

fi:-lf ·00(1
New Mexico
GAS COMPANY
AUG 09 2011
August 3, 2011
Jeffrey D. Wiese
Associate Administrator
Office of Pipeline Safety
Pipeline and Hazardous Materials Administration
U. S. Department of Transportation
1200 New Jersey Avenue, SE
Washington, D.C. 20590
RE: Interpretation of Transmission Lines
Dear Mr. Wiese:
New Mexico Gas Company (NMGC), is a local distribution company serving approximately
500,000 customers in the state ofNew Mexico. NMGC would like to request a formal
interpretation of transmission lines as related to our company and system.
The confusion around the transmission definition relates to the lack of a written definition for a
distribution center. Based on previous PHMSA interpretations it is NMGC's understanding that
a distribution center commonly refers to that point where gas enters piping primarily to deliver
gas to customers who purchase it for consumption as opposed to customers who purchase it for
resale. Since the vast majority of the gas in NMGC' s piping is delivered to customers who
purchase it for consumption, we believe the distribution center can typically be represented by
the point of transfer between an interstate pipeline and NMGC such as a city gate station or a
regulator station unless the downstream piping operates at a hoop stress of 20 percent or more of
SMYS. NMGC does not transport gas from a gathering line or storage facility and does not
transport gas within a storage field.
Four specific examples are our Intel VHP line, our Santa Fe South Feed line, our Gallup East
EPNG Feed, and our Ambrosia Lake line. The Intel VHP line originates at a regulator station on
our Alameda transmission line in the middle of our Albuquerque Metro distribution center. The
Alameda transmission line operates above 200/o of SMYS at 466 psig and the Intel VHP line
operates at 175 psig at 5. 9% of SMYS. The Intel VHP line delivers gas to the Albuquerque
Metro 60 psig distribution system and to the Intel factory (a large volume customer). Attached is
a map showing the Alameda transmission line, the Intel VHP line, and a portion of the
Albuquerque Metro 60 psig distribution system. All of the gas that travels through the Alameda
transmission line and the Intel VHP line is delivered to customers who purchase it for
consumption. NMGC's interpretation of the pipeline safety regulations is that the Intel VHP line
is a distribution line because it delivers gas downstream of the Albuquerque distribution center
and does not operate at a hoop stress of 20 percent or more of SMYS. We would appreciate an
interpretation regarding whether the Intel VHP line is a distribution line.
The second example, the Santa Fe South Feed line, is similar to the first. The Santa Fe South
Feed line originates at a regulator station on our Santa Fe transmission line on the south side of
P .O . B ox 97500 Albuq ue rq ue, N M 87 199-7500 p: 888 NMGASCO www.nmgco.c om

<<<PAGE 5>>>

our Santa Fe distribution center. The Santa Fe transmission line operates above 20% of SMYS
at 600 psig and the Santa Fe South Feed line operates at 250 psig at 18.SO/o ofSMYS. The Santa
Fe South Feed line delivers gas to the Santa Fe 60 psig distribution system. Attached is a map
showing the Santa Fe transmission line, the Santa Fe South Feed line, and a portion of the Santa
Fe 60 psig distribution system. All of the gas that travels through the Santa Fe South Feed line is
delivered to customers who purchase it for consumption. NMGC's interpretation of the pipeline
safety regulations is that the Santa Fe South Feed line is a distribution line because it delivers gas
downstream of the Santa Fe distribution center and does not operate at a hoop stress of 20
percent or more of SMYS. We would also appreciate an interpretation regarding the Santa Fe
South Feed line.
The third example is the Gallup East EPNG Feed. The East EPNG Feed originates at the Gallup
city gate station where NMGC takes delivery of gas from an interstate pipeline. The East EPNG
Feed operates at 300 psig at 13.7% ofSMYS. The East EPNG Feed delivers gas to the Gallup
60 psig distribution system. Attached is a map showing the East EPNG Feed and a portion of the
Gallup 60 psig distribution system. All of the gas that travels through the East EPNG Feed is
delivered to customers who purchase it for consumption. NMGC's interpretation of the pipeline
safety regulations is that the East EPNG Feed line is a distribution line because it delivers gas
downstream of the Gallup distribution center and does not operate at a hoop stress of 20 percent
or more of SMYS. We would also appreciate an interpretation regarding the East EPNG Feed
line.
The fourth example is the Ambrosia Lake line. The Ambrosia Lake line originates at a regulator
station on the Grants transmission line on the north side of our Grants distribution center. The
Grants transmission line operates above 20% of SMYS at 720 psig and the Ambrosia Lake line
operates at 180 psig at 10.1 % of SMYS. The Ambrosia Lake line delivers gas to the Grants 50
psig distribution system and to several farm taps. Attached is a map showing the Ambrosia Lake
line along with portions of the Grants 50 psig system and portions of the Grants and Gallup
transmission lines. All of the gas that travels through the Ambrosia Lake line is delivered to
customers who purchase it for consumption. NMGC' s interpretation of the pipeline safety
regulations is that the Ambrosia Lake line is a distribution line because it delivers gas
downstream of the Grants distribution center and does not operate at a hoop stress of 20 percent
or more of SMYS. We would also appreciate an interpretation regarding the Ambrosia Lake line.
If you have any questions regarding this matter, please call me at (505) 697-3585.
cc: John Gale- PHMSA
Jason Montoya - PSB
Ken Oostman- NMGC
Tom Bullard - NMGC
Gary Roybal- NMGC

<<<PAGE 6>>>

[overview of NMGC Transmission System I
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LoM1io.n of:
Ambrosia" L.ake System
U:tgcnd
--"""' NMGC Transmisslon
lines
_
El Pas.o Na, tu ral Gas Pipe)ines
Transwestern Pipelines
c=J Al,buqfjergue-DLsfribulioo System
.' c=J Santa- F' e Distrioution System.
c=J Gallup DlstributionA System
c::::J MilaJl & Gtartts Dist,tibution System
[:==J Farmingtcn Dtstrrbution Sy~1ein
Other tiMGC Distribution SystE:ms
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<<<PAGE 7>>>

Fuel Gas Deivary Regulator:
Take-08 Valve Seting at Santa Fe Junction
Alameda Transmission Line
M Water Wes No. 3 Tep
Los Suscos Barde
War Sos Hongal
Ro Rancho Border Station No. 1
West Side Heaptal (ou St
Fake Sering
Ot Vivo Seting
Gibois Border Station
Ro Ranche Pigman: Contra
Intel VHP Line

<<<PAGE 8>>>

Santa Fe Transmission Line
EV Pate Too
Highery 500 Border Station
•Town. Border Station
Sonia Fa Series Cutor
Regulator Station
Regutator Statica
Regulator Station
Agniny 09s Heather
Roguintor Statica) Regulator Siason
Regulator Station
Block Valve Staton Regulate Stason
Regurator Station
Rogulater Stason
Reguiator Station
Regular Station Regulator Summon
Regulator Station
Regulator Staton
Santa Fe South Feed Line

<<<PAGE 9>>>

El Paso Natural Gas Interstate Pipeline
Gallup East EPNG Feed
Gallup Transmission Line
Galup East Daret Regules Se
Galup Derde Solten No. 2
Galan East Tako-ot
Indian Plaza Regulato: Station
Menuing Sinton

<<<PAGE 10>>>

Odaricer Sados
El Paso Natural Gas Interstate Pipeline
Mear Staton
Gallup Transmission Line
Bock Vairo Setting
EPNG Recept Station
Borde Saten
Diabet Regalhice
Martine TAp
Minino ing Marine Top
Meter Season
Asnine Tup
Bordir Staien
Bock Wike Seting
Minina Tip Munica Teo
Besde Statien
Maicine Tap
EPNG Recept Station
Block Yake Sesing
Mentre Top
Hectios
Ambrosia Lake System
Grants Transmission Line

<<<PAGE 11>>>

New Mexico
GAS COMPA N Y
October 12, 2011
Mr. Tewabe Asebe
Office of Pipeline Safety
Pipeline and Hazardous Mateirals Administration
U.S. Department of transportation
1200 New Jersey Avenue, SE
Washington, D.C. 20590
RE: Interpretation of Transmission Lines
Dear Mr. Asebe,
On September 21, 2011, you telephoned me and requested additional information with regard to the
request for interpretation submitted by New Mexico Gas Company (NMGC). As I understand it, you
requested the following for each of the line in question:
• Distance from the supplier's transmission line to the city gate.
• Distance from the city gate to the distribution system.
49 CFR 192.3 defines a transmission line as follows:
Transmission line means a pipeline, other than a gathering line, that: (1) transports gas from a gathering
line or storage facility to a gas distribution center, storage facility, or large volume customer that is not
down-stream from a gas distribution center; {2) operates at a hoop stress of 20 percent or more of
SMYS; or (3) transports gas within a storage field.
NMGC does not transport gas from a gathering line or storage facility so that part of definition (1) does
not apply. NMGC also does not transport gas within a storage field so definition (3) does not apply. The
only portions of the definition which could apply to NMGC are the portion of definition (1) relating to
large-volume customers not downstream of a distribution center and definition (2) for lines that operate
at a hoop stress of 20 percent or more of SMYS.
New Mexico Gas Company's definition of a distribution center, based on previous PHMSA
interpretations and general industry interpretations, is either a city gate station or the point in which gas
flows into piping that is primarily delivered to customers who have purchased the gas for consumption.
In most instances, NMGC's city gate stations are at the point of transfer between the interstate pipelines
which supply our gas and NMGC's system, thus the distribution center is all of the systems downstream
of those points of transfer. All lines within the NMGC'S distribution center are distribution lines, unless
they operate at above 20% SMYS. NMGC's distribution centers typically consist of multiple distribution
systems which operate at various pressures.
NMGC receives gas for its NW systems at three primary locations. These locations are two interstate
pipelines (EI Paso Natural Gas and TransWestern) at the Rio Puerco Receipt Station, the tailgate of the
P.O. Box 97500 • Albuquerque, NM 87199-7500 p: 888 NMGASCO www.nmgco.com

<<<PAGE 12>>>

Kutz processing plant in Bloomfield, NM (Kutz Receipt Station), and the tailgate of the lybrook
processing plant in lybrook, NM (lybrook Receipt Station. NMGC lines within the distribution center
then bring this gas to NMGC's Santa Fe Junction, northwest of Albuquerque. Santa Fe Junction is the
beginning of the Albuquerque Metro area distribution center and where the Santa Fe Mainlines head
north towards Santa Fe.
Distance from the supplier's transmission line to the city gate
The Intel VHP line is within the Albuquerque Metro distribution system. The distance from the suppliers'
pipelines to the city gate (Santa Fe Junction) is 35 miles for the Rio Puerco Receipt Station,
approximately 135 miles for the Kutz Receipt Station, and approximately 89 miles for the lybrook
receipt Station.
The Santa Fe South Feed line is within the Santa Fe distribution system. The Santa Fe distribution system
is served from Santa Fe Junction through the Santa Fe Mainlines to the Santa Fe city gate at the Highway
599 Regulator Station. The distance from Santa Fe Junction to the Santa Fe city gate (Highway 599
Regulator Station) is approximately 48 miles. So the distance from the suppliers' pipelines to the city
gate is approximately 83 miles for the Rio Puerco Receipt Station, approximately 183 miles for the Kutz
Receipt Station, and approximately 137 miles for the lybrook Receipt Station.
The Gallup East EPNG Feed line is within the Gallup distribution system. The Gallup distribution system is
served by the El Paso Natural Gas (EPNG) interstate pipeline. Since all of the gas provided by our
suppliers is for customers' consumption and not for resale, the distribution center begins at the point of
transfer from the supplier's transmission line. Thus the distance from the EP NG pipeline to the Gallup
city gate is zero.
The Ambrosia lake line is within the Grants area distribution center. The Ambrosia lake city gate is the
Ambrosia Border Station. This area is served from NMGC's transmission system which runs from
northwest New Mexico. Since all of the gas provided by our suppliers is for customers' consumption and
not for resale, the distribution center begins at the point of t ransfer from the suppliers' transmission
lines. Thus the distance from t he suppliers' pipelines to the city gate is zero.
Distance from the city gate to the distribution system
For the Intel VHP line, the applicable city gate is Santa Fe Junction. The distance from Santa Fe Junction
to the distribution system at Cibola Border Station is approximately 6 miles. The length of the Intel VHP
line is 1.4 miles and it operates at 175 psig (5.9% SMYS)
For t he Santa Fe South Feed line, the city gate is the Highway 599 Regulator Station. The distance from
the Highway 599 Regulator Station to the next regulator station (Santa Fe Airport distribution system)
on the Santa Fe South Feed line is less than 1 mile. The length of the Santa Fe South Feed line is 11
miles. This line operates at 250 psig (18.8% SMYS).
For the Gallup East EPNG Feed, the city gate is the EPNG Gallup City Gate #2. The distance from the city
gate t o the distribution system is 1.1 miles. The Gallup East EPNG Feed operates at 300 psig (13.7%
SMYS).
For the Ambrosia lake line, t he applicable city gate is the Ambrosia lake Border Station. The distance
from the Ambrosia l ake Border Station to the Milan distribution system is approximately 17 miles. The
length of the Ambrosia lake line is 27 miles and it operates at 180 psig (10.1% SMYS).

<<<PAGE 13>>>

I have attached a map of our northwest system showing the distribution syst ems and receipt points. I
hope that this answers your questions. If not, please contact me at 505-697-3585 or
deborah.brunt@nmgco.com
Sincerely,
Director of Engineering
cc: Ken Oostman- NMGC
Tom Bullard- NMGC
Gary Roybal- NMGC
Jason Montoya- NMPSB

<<<PAGE 14>>>

I Overview of NMGC Transmission System I
•
~ EPNG, TW and Williams Kutz Receipt Stations
•
Location of:
Ambrosia Lake System
Legend
- NMGC Transmission_lines
El Paso Natural Gas Pipelines
- Transwestern Pipelines
c=J Albuquerque Distribution System
c=J Santa Fe Distribution System
c:::J Gallup Distribution System
CJ Milan & Grants Distribution System
c=J Farmington Distribution System
Other NMGC Distribution Systems
EPNG Receipt Station Location of:
Intel VHP Line
EPNG and TW Receipt Stations
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