Southern Star Central Gas Pipeline, Inc. Requests Withdrawal of Abandonment Order

Strategic Insights -

Southern Star Central Gas Pipeline, Inc. has submitted a document to the Federal Energy Regulatory Commission (FERC) requesting the withdrawal of a previously issued order that approved the abandonment of certain domestic meters in Kansas to Black Hills Energy. This move follows a six-month extension granted by FERC to complete the abandonment, which was terminated by mutual agreement between Southern Star and Black Hills Energy. As a result, the proposed sale of 273 domestic meters will not proceed as initially planned.

Key Takeaways:

  • The Federal Energy Regulatory Commission issued an "Order Approving Abandonment" on February 28, 2024, allowing Southern Star to abandon 273 domestic meters to Black Hills Energy.
  • On February 25, 2025, FERC granted Southern Star a six-month extension to complete the abandonment, with a new deadline of August 29, 2025.
  • A subsequent agreement between Southern Star and Black Hills Energy terminated the Asset Purchase Agreement, preventing the sale of the domestic meters.
  • Southern Star requests the withdrawal of the original order due to the change in circumstances.
  • The Federal Energy Regulatory Commission has the authority to review and approve or deny the withdrawal request.

Statistics:

  • The proposed sale involved 273 domestic meters in the State of Kansas.
  • The original abandonment deadline was February 28, 2025.
  • FERC granted a six-month extension, which expired on August 29, 2025.
  • The asset purchase agreement between Southern Star and Black Hills Energy was terminated on July 1, 2025.

Sources:

  • Southern Star Central Gas Pipeline, Inc. (August 26, 2025). CP24-22 - Withdrawal of Certificate.docx.
  • Federal Energy Regulatory Commission. (February 28, 2024). Order Approving Abandonment.
  • Federal Energy Regulatory Commission. (February 25, 2025). Notice ofExtension of Time to Complete Abandonment by Sale.