There, in a market glutted with pipeline capacity, the company is California's largest natural gas supplier.

"The community does seem organized against it, but there is countervailing pressure to build new pipeline capacity."

And the Iraqis are expanding their pipeline capacity to add nearly another million barrels a day in 18 months.

Industry observers believe there may be excess pipeline capacity.

Not long ago, many parts of the country had excess pipeline capacity.

The initial pipeline capacity was 980,000 tons of kerosene per annum.

The new addition raised the total pipeline capacity of Botas to 1.5 million barrels a day.

They also said that more than 80 percent of the pipeline capacity would be limited to Canadian gas under terms approved by the administrative judge.

The offer reflects the scramble by the nation's gas transmission companies to obtain pipeline capacity in the Northeast.

However, these prices were very low because the amount of available gas supply exceeded the pipeline capacity to move it to national markets.