When gas companies have a non-producing pipeline (Whether due to age, low gas volumes, integrity, acquired through a merger or excessive operating costs) these usually meet the criteria to have CPI give an appraisal for the liquidation of that asset. The pipeline appraisal for liquidation can then be circulated throughout the gas company personnel in aiding in the decision-making processes that fits in with the company’s future goals.
In our appraisal process, we assess the pipe, its size, wall thickness, estimated install date and type of pipe coatings used. It is helpful but not absolutely necessary, to have maps of the pipeline or as-built maps that might be available. We then make a site inspection of the entire right-of-way. We assess all environmental concerns including creek crossings, tree clearing, rolling terrain, road crossings and right-of-way access to determine the extent of surface and crop damages that the removal process would incur.
Over half of our removal projects to date have been turn-key, cash up-front purchases on an “As-Is”, “Where-Is” basis with CPI Pipe & Steel assuming all the liabilities of the pipeline. Some gas companies wish to settle their own surface damages. CPI will consider any alternate scenario the gas company would like to make for the successful sale of the pipeline.
When the appraisal is completed, CPI will make an informal, cash up-front offer based on our assessment. The assessment can then to be taken under review by the gas company to determine the future of the pipeline.
We can guarantee the best service and dollar for your pipeline asset transfer with our long-standing record of references to back it up.
