Honeoye Storage Corporation ("Honeoye") operates an independent gas storage facility

located in the lush, rolling hills of Ontario County, NY, about thirty miles south of Rochester.

Honeoye Lake, one of the renowned Finger Lakes, borders the field on the West. Canandaigua

Lake is to the east.

Overview

Honeoye began operations in 1975 with a FERC certificate and twenty-year storage

contracts with the three major New York City utilities, Con Edison, Brooklyn Union and Long

Island Lighting. Storage service was expanded in 1980 when the field pressure was increased.

Boston Gas and Energy North were added to the list of key customers. The contracts became

evergreen in 1995 under annual renewal options. Long Island Lighting terminated its contract in

1997 before the merger with Brooklyn Union and was replaced by ProMark Energy and

Providence Gas.

When Providence and ProMark terminated their contracts Honeoye sought and received

authorization from FERC (Docket Nos CP-93-000, 94-000 and 95-000) to expand the field

further by increasing operating pressures. In 2000 FERC also authorized Honeoye to market

both the expanded capacity and the former Providence capacity on open access, market-based

rate basis.

The Facility 

The storage field, a Medina age reservoir found at a depth of 2750 feet, covers an area that

is about twelve miles east-west and six miles north-south, There are twenty seven operating

wells, twelve observation wells, nineteen miles of gathering lines, 2750 hp of compression and a

ten and a half mile pipeline running north to the Tennessee Gas and interconnection.

The facility has been operated very efficiently for more than thirty years by a group of ten

creative operators and supervisors whose term of employment with the company averages

more than thirty years.