IP’s Ticonderoga Mill Ends Natural Gas Pipeline that Doubled in Price
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According to a recent report by WPTZ, Plattsburgh, New York, USA, International Paper Co.’s mill in Ticonderoga, N.Y., has opted out of a natural gas pipeline deal with Vermont Gas Systems. The decision puts an end to what would have been a second phase of the pipeline project.
In October 2012, the factory made a deal with Vermont Gas to create a natural gas pipeline from Middlebury to Ticonderoga. The original cost estimate was $69 million, but when that number grew to $135 million, according to IP, it pulled the plug on the pipeline.
"For us it was, do we invest in the natural gas pipeline at this time? Does it make business sense? And at the cost that we were hearing and at the time delay that we were hearing, it didn't make business sense," a company spokesman said.
The company is looking forward and exploring other types of renewable and sustainable energy. It currently gets steam and energy from its black liquor recovery boiler. It also is powered by No. 6 fuel oil, bark, and wood chips in a combination power boiler, as well as hydroelectric power through the Recharge New York program.
Although IP terminated its contract with Vermont Gas, the company will continue converting its equipment.
"Compressed natural gas will become part of our fuel mix, and where we go from there, we'll have to step back and look at what the options are," the company spokesman added.
