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UPDATE 1-Energy Transfer-rupture on Oasis Texas gas line

Thu Aug 28, 2008 10:41am EDT

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NEW YORK, Aug 28 (Reuters) - Energy Transfer Partners (ETP.N) said Thursday a rupture occurred on a portion of its 36-inch natural gas pipeline in a "remote" area of Texas between San Antonio and Austin.

A company spokeswoman said there were no injuries, but was not immediately sure of the volumes of gas flowing at the time of the incident.

Deputy Chief David Creed of the Luling Police Department told Reuters just prior to 8 a.m. CDT there were "several 911 calls reporting an explosion."

"Responding units arrived at or near a refinery ... A gas transmission line had breached and was on fire," Creed said. The breach happened near Stairtown, Texas, about 10 miles north of Luling.

The Austin American Statesman newspaper reported on its website a refinery pipeline exploded Thursday morning in Caldwell County, south of Austin.

The report did not say what refinery was supplied by the pipeline.

The Oasis Pipeline is an intrastate natural gas line that runs from the Permian Basin in west Texas to natural gas supply and market areas in southeast Texas.

Energy Transfer's natural gas operations include approximately 6,500 miles of natural gas gathering and transportation pipelines with an aggregate throughput capacity of 3.8 billion cubic feet of gas per day, with natural gas treating and processing assets located in Texas, Oklahoma, and Louisiana.

Energy Transfer Equity LP (ETE.N) owns the general partner of Energy Transfer Partners. (Reporting by Eileen Moustakis, additional reporting by Erwin Seba in Houston and Rebekah Kebede in New York, editing by Matthew Lewis)



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