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Perlite firm expresses interest in possible natural gas use

October 9, 2013 by

Cornerstone Industrial Minerals Pres. Bruce Addington approached Lake County’s Board of Commissioners with an interest in seeking access to right-of-way alongside the railroad for possible natural gas development.

Addington, along with attorneys John Bogardus and Pamela Frazier, spoke with the Commissioners during an Oct. 1, special session.

Addington said the company is interested in building a natural gas pipeline that would span a distance of about 6 miles to the plant site.  Energy cost savings are a primary objective of such an installation.

“We think it’s something that would be good for our business, as well as Lakeview and Lake County,” Addington said during the meeting.

Addington also said that Collins Companies share interest in potential natural gas integration.

Commissioner Dan Shoun expressed concerns related to long-term capacity beyond the industrial use of the natural gas line, which served as a primary discussion point.

His specific question pertained to the line’s capacity as it relates to potential future use by Lakeview and Lake County.

“We understand the financial burden you’re facing,” Shoun said, “and we want to support it.”

Addington said that he feels the capacity exists for that potential use, based on discussions with local engineer Darryl Anderson.

The cost difference, however, between a six-inch line and a 10-inch line is marked in terms of expense.

“A 10-inch line is exponentially more expensive,” he said, noting that a 10-inch line would be capable of considerable multiple usage.

“You can push a lot of gas through a 10-inch line,” he said.

Regarding an inquiry from Commissioner Ken Kestner as to whether Cornerstone has pursued talks with natural gas utility provider Avista, Addington said working would them would require a 3 percent return over the long-term.

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