What is Southeast Supply Header?
The Southeast Supply Header is a joint project of CenterPoint Energy Gas Transmission Company (CEGT) and Spectra Energy. The 270 mile, 36-inch and 42-inch diameter pipeline will extend from the Perryville Hub in northeastern Louisiana to the Gulfstream Natural Gas System, L.L.C. pipeline system, which is 50 percent owned by an affiliate of Spectra Energy, near southern Mobile County, Alabama. The new pipeline will have approximately 1 billion cubic feet (bcf) per day of pipeline capacity.

SESH will link the onshore natural gas supply basins of east Texas and northern Louisiana to Southeast markets now predominantly served by offshore natural gas supplies from the Gulf of Mexico. This pipeline will give customers an important alternative to offshore supply, which can be vulnerable to weather-related disruptions.

Along its route, SESH will interconnect with several interstate natural gas pipelines, providing opportunities for supply to reach southeast and northeast markets as well as several storage facilities.

In December 2006, SESH announced an agreement with Southern Natural Gas (SNG), an affiliate of El Paso Corporation, to expand the design capacity of the project to reach new markets in the southeast. SESH and SNG will jointly own the first 115 miles of the pipeline, from the Perryville Hub to an interconnection with SNG in Mississippi. The capacity of the jointly-owned pipeline could reach 1.5 Bcf/d, subject to certain conditions and regulatory approval. With the expansion, SESH will maintain its 1 Bcf/d of capacity in the pipeline with economical expansion opportunities in the future.

The pipeline is anticipated to be in service in the summer of 2008.

Who is CenterPoint Energy Gas Transmission Company (CEGT )?
CEGT is one of two indirect, wholly-owned interstate pipeline subsidiaries of CenterPoint Energy, Inc. Together, CenterPoint Energy operates 8,200 miles of interstate pipeline located in eight states: Arkansas, Kansas, Louisiana, Mississippi, Missouri, Oklahoma, Tennessee and Texas. Branch offices are located in Shreveport, La., Little Rock, Ark., Oklahoma City, Okla., and St. Louis, Mo.

Who is CenterPoint Energy, Inc.?
CenterPoint Energy, Inc., headquartered in Houston, Texas, is a domestic energy delivery company that includes electric transmission & distribution, natural gas distribution, competitive natural gas sales and services, interstate pipelines and field services operations.  The company serves more than five million metered customers primarily in Arkansas, Louisiana, Minnesota, Mississippi, Oklahoma, and Texas. Assets total over $17 billion.  With about 8,600 employees, CenterPoint Energy and its predecessor companies have been in business for more than 130 years. 

How will you ensure the safety of the pipeline?
The United States Department of Transportation (USDOT) considers natural gas pipelines as one of the safest modes of energy transportation. Our company works closely with regulatory agencies to meet and often exceed appropriate safety regulations. At Southeast Supply Header, safety is paramount. The safety of the employees and the general public is assured throughout each step of the pipeline's operations, including new construction.

The pipeline is constructed of high-strength carbon steel coated with corrosion resistant, non-conductive, inert material. During construction, each joint of the pipeline is welded and each joint is x-rayed to verify its integrity. The pipeline is cathodically protected after the pipe is placed in the ground. Cathodic protection is the process of applying a safe, low volt direct current to all surfaces of the pipeline to protect it from the effects of corrosion. Additionally, the pipeline is hydrostatically tested at high pressure to ensure its structural integrity prior to being placed in service. During the hydrostatic testing, the pipeline is filled with water and pressurized to a level higher than the maximum allowable operating pressure. That pressure is held for a specific period or time to confirm the integrity of the pipeline.

Once the pipeline is installed, with a minimum of three feet of cover, the surface is restored to its pre-existing condition, and Southeast Supply Header then installs above-ground pipeline markers to indicate the location of the buried pipeline. These markers, required by USDOT regulations, are placed in line-of-sight intervals as the buried pipeline crosses private and public property and are also installed at each and every road and railroad crossing. Markers are designed to enhance public safety and alert anyone planning any excavation of the location of the pipeline in a particular area. The markers display contact information for Southeast Supply Header should you need assistance or witness a pipeline emergency.

An important component of public safety is leak protection and detection. Southeast Supply Header personnel regularly perform visual inspections of their pipelines to identify potential problems. These inspections are done on foot, by vehicle or by air. Southeast Supply Header is an active member and advocate of the One Call System programs in Texas and Louisiana. Through these One Call System programs, Southeast Supply Header is informed of planned excavations, allowing us to monitor activities around the right-of-way to protect the pipeline.

Once the pipeline is in service, the Southeast Supply Header System Control electronically monitors the operations 24 hours a day, 365 days a year using a highly sophisticated computerized gas monitoring system to read pressures along the pipeline on a continuous basis.

How do you respond to emergencies?
Southeast Supply Header maintains an Emergency Response Plan that includes names and telephone numbers of agencies, municipal officials, and persons to be contacted in the event of an emergency. Southeast Supply Header also maintains relationships with local, state and municipal public safety officials to provide them with emergency response information.

In the unlikely event of a pipeline incident, Southeast Supply Header personnel will act in accordance with the Emergency Response Plan, notifying and working with appropriate public safety officials. Southeast Supply Header will be responsible for controlling the flow of natural gas and repairing any damage to the pipeline. Public safety officials working with Southeast Supply Header will be responsible for the public safety effort and for ensuring a safe and secure area.

How will landowners be affected?
Southeast Supply Header understands that landowners along its pipeline system are neighbors and is fully committed to establishing and maintaining positive long-term relationships with all landowners. Southeast Supply Header understands the impact to property owners of having pipelines built on their property and takes the necessary steps to minimize the amount of land impacted by construction. Southeast Supply Header is also committed to a robust restoration program, which results in minimal impact to the surrounding landowners. Southeast Supply Header will separate and restore topsoil, minimize soil compaction on the surface, pay crop damages and assure drain tile is protected or repaired properly. Southeast Supply Header's goal is to work with all affected landowners to provide fair compensation and obtain their agreement for an easement to construct the facilities. During construction, Southeast Supply Header will honor all existing and new landowner agreements and comply with all applicable state, federal and local requirements. Once construction is completed, Southeast Supply Header is thoroughly committed to clean up and restore affected property. In most cases, property owners will be able to use the pipeline right-of-way just as they did before construction. Activities such as growing crops and pasturing livestock can resume after restoration.

What noise level is expected during construction?
Pipeline construction will cause temporary, intermittent increases in local noise levels due to equipment operation and pipeline testing activities. Temporary noise during construction poses no threat to the health of people or wildlife.

Who will be the customers of the Southeast Supply Header?
The Southeast Supply Header will provide needed, clean-burning natural gas to the following customers in the Southeast and Northeast:

• Homes
• Hospitals and nursing homes
• Agricultural businesses
• Schools
• Commercial businesses
• Industrial customers

How will Southeast Supply Header communicate with landowners?
Southeast Supply Header will participate in a pre-filing process to reach stakeholders in the project, such as landowners and environmental groups, very early in the planning stage. As part of that process, Southeast Supply Header will employ a variety of means to communicate with affected landowners. These include open houses, a dedicated Web site and a single point of contact with Southeast Supply Header to address your questions and concerns.

What are the open houses and when will they take place?
The open houses were held in communities along the project route. Affected landowners and local and state officials received a mailed invitation. We also publicized the open houses in the local media. At the open houses, we provided information on the scope of the project, the project route, company contacts, the role of the federal government and landowners' rights, the company's safety commitments, and land restoration and remediation. Open houses were held June 12-21, 2006.

What will be on the Web site and how do I access it?
The Web site will contain route maps, project updates, landowner information and contact information for the federal government and to make inquiries directly to Southeast Supply Header. The Web site also will include information on Southeast Supply Header's application to build the pipeline. Click this link to access the Web home page of Southeast Supply Header.

What if I want to contact Southeast Supply Header directly about a problem or if I want to ask someone from the company a question?
A toll free number has been established that is staffed during normal business hours and allows you to leave messages outside normal business hours. The telephone number is 1-888-312-SESH (7374).

What if I want to contact FERC?
There are two ways to make your views known to FERC. First, if you want FERC to consider your views on the various environmental issues involving the pipeline, you can write them a letter. FERC will undertake a complex and thorough environmental analysis of the project. Details are available through FERC's Office of External Affairs at 1-866-208-3372, or you may check FERC's Web site for details at http://www.ferc.gov.

Second, you may file as an intervenor once Southeast Supply Header has filed its certificate application requesting authorization to construct the proposed facilities. The Office of External Affairs can help you through this process as well. Becoming an intervenor will give you access to company and FERC documents related to the case as well as materials filed by other parties to the application. You will have the right to file legal briefs, appear at hearings and be heard by the courts if you appeal the final ruling of FERC. However, you should also know that you will be obligated to mail copies of what you file to all the other parties at the time of filing, which in a major case, may be substantial. You must normally file for intervenor status within 21 days of the date of the application's filing notice in the Federal Register. Although comments are accepted during the pre-filing process (designated as "PF" docket) as described above, the FERC pre-filing process procedures do not provide for you to file as an intervenor in that process. To become an intervenor, you must wait until Southeast Supply Headerhas filed its certificate application.

What other information is available?
You can ask for a copy of a pamphlet published by the FERC titled "An interstate Natural Gas Facility on My Land? What Do I Need to Know?" The pamphlet can also be downloaded from the FERC Web site http://www.ferc.gov/for-citizens/citizen-guides/citz-guide-gas.pdf.

What does it mean if I let Southeast Supply Header survey my property? Does it obligate me to any future agreement?
Granting Southeast Supply Header and its agents permission to enter your property for the purpose of conducting a survey simply means that you are allowing Southeast Supply Header to conduct appropriate engineering and environmental analyses. It in no way means that you have agreed to enter into a right-of-way agreement. These engineering and environmental analyses are an important part of the planning process for the project. This is one step of a complex process that involves looking at your land to establish potential routes and temporary work space areas and completing surveys required by law to examine potential adverse impacts to environmental, archeological and cultural resources as well as identifying any potential risks to threatened and endangered species. Surveying may mean only walking the property; however, occasionally there may be a need to dig a hole in order to obtain a soil sample. After the soil has been sifted, it will be returned to the place from which it was taken.

Does Southeast Supply Header compensate landowners for granting permission to conduct surveys?
Southeast Supply Header does not offer compensation for survey permission. If a landowner's property is used for the final route, the landowner will be offered fair compensation for the use of their land and access onto the land and will be reimbursed for any temporary economic loss caused by construction or access onto the land. In most cases, the land will be restored substantially to its original condition.

How is fair compensation determined?
Fair compensation is determined by the fair market value of the property as determined by comparable sales properties in your area at the time of right-of-way negotiations. After the final route has been determined, landowners along the final route will receive a communication on the right-of-way acquisition process.

Will Southeast Supply Header use eminent domain to acquire property for the construction of the project?
Southeast Supply Header is committed to make every effort to reach a fair and reasonable agreement with affected landowners. Southeast Supply Header views landowners along its pipeline as neighbors and is fully committed to establishing and maintaining positive long-term relationships with landowners. Be assured that Southeast Supply Header will take all necessary steps to minimize the amount of land impacted by the project. If, for whatever reason, an agreement cannot be reached between Southeast Supply Header and a landowner, and the Federal Energy Regulatory Commission (FERC) determines that a public need for the pipeline exists, eminent domain procedures, also known as condemnation, can be used. Southeast Supply Header's objective is to negotiate in good faith to reach a fair settlement with each landowner, and as such, considers eminent domain only as a last resort.

Where can I get information about my rights as a landowner?
FERC, the government agency that regulates the construction activity of interstate pipelines, has information regarding landowner issues on its Web site at http://www.ferc.gov/for-citizens/citizen-guides/citz-guide-gas.pdf.

Will Southeast Supply Header restore my agricultural land for its original use after the construction?
The use of land for farming or other agricultural purposes over a pipeline is very common. Farm land will be restored in a manner designed to return the land to full production. Farmers will be compensated for the temporary loss of crop production.

If a right-of-way easement agreement is reached, will I still be able to use the property in the right-of-way after the construction of the pipeline is completed?
Agricultural uses are normally permitted. For safety reasons, buildings and large trees are not generally permitted. Driveways, roads, parking lots and underground utilities are routinely permitted with the prior written approval of Southeast Supply Header. Installation of shrubs, bushes and most gardening activities are permitted as long as the mature height of the plants does not exceed four feet.

Can property owners fence the easement on their property?
Landowners can fence off their easement on their property provided they allow Southeast Supply Header to access the easement via gates. Specifically, wire type, stockade, decorative or similar fencing that can be easily removed or replaced crossing the pipeline is routinely permitted.

What is the width of the corridor needed during the construction period? When completed, how much of the corridor becomes permanent?
In general, the width of the construction right-of-way is 40 feet of temporary workspace and 60 feet of permanent easement. Additional temporary workspace will be necessary in certain areas where existing physical geographical features or construction techniques necessitate the movement of greater quantities of earth to create a safe working area. Some of the typical areas where temporary workspace is needed to support pipeline construction are at road crossings, at waterbody crossings and adjacent to wetland areas or where the ground topography is steep and/or sloping.

I have heard other landowners have had problems with other pipeline installations on their land. How is Southeast Supply Header different?
Southeast Supply Header's experts have extensive and long-standing experience in designing, planning, constructing and operating interstate pipelines. Because Southeast Supply Header is an interstate pipeline company, the company’s construction activities are regulated by the FERC, which strictly enforces regulations regarding the construction of pipelines and associated remedial efforts.

Southeast Supply Header is also taking proactive steps to establish communications with affected landowners and communities through one-on-one contacts, Open House meetings, a project Web site and a single source of contact. Not only are we doing this because it is good business practice, but we also believe the landowners along the pipeline are our neighbors. As neighbors, we are committed to dealing with landowners fairly, honestly and openly. We understand that the industry of bringing needed energy resources to communities also has its responsibilities. These include building and maintaining long-term relationships and a respect for the environment and communities in which we live.

Can I get natural gas service to my home?
Southeast Supply Header will operate a pipeline that delivers gas to local gas distribution companies. The distribution companies in turn deliver gas to homes and businesses. If you desire natural gas service to your home, contact the local gas distribution company in your area. Gas service can not be obtained directly from Southeast Supply Header.

Can I get direct gas service off of this line crossing my property?
Southeast Supply Header will not be providing interconnections to directly serve any retail customers. Southeast Supply Header will also not be providing service off of this line to any distribution companies, but will continue to provide service for local distribution needs such as your’s at our interconnections with the local gas companies. If you desire natural gas service to your home, contact the local gas distribution company in your area.