Question-and-Answer Session
Operator
Thank you. (Operator instructions) And we’ll take our first question from Darren Horowitz with Raymond James.
Darren Horowitz – Raymond James
Hi, guys, good morning. Just a quick question for you. You mentioned the ethane rejection in December. Can you give us an update on what you’re seeing currently and your expectations for process (inaudible) Four Corners as we progress here to the second quarter?
Alan Armstrong
Sure. Ethane margins have rebounded very nicely and ethane is certainly producing nice margin in the Western, in both Wamsutter and Four Corners, a little bit lower in Gulf Coast but still very positive. And so here in April, we’ve seen things rebound. Ethane has firmed up a little bit, and gas prices have softened, which has given us quite a bit of margin over and above what we see in the first quarter.
Darren Horowitz – Raymond James
With any sort of incremental plant capacity coming online further, does it lead you to believe that things are going to improve at a more moderate pace or possibly a more significant pace than you had earlier expected?
Alan Armstrong
On ethane margins?
Darren Horowitz – Raymond James
Yes.
Alan Armstrong
I think – you know, obviously that’s pretty hard to read. I think our read of what’s going on in the pet chem industry is there was a lot of inventory that was pulled down towards the end of '08 and into the first quarter of ’09, lot of inventory. And those inventories have been pretty well consumed, not just in the ethylene inventory, but in the downstream derivative products. And I think those inventories have been soaked up pretty heavily. And the ethylene demand right now is actually pretty good.
Darren Horowitz – Raymond James
Okay. I appreciate it. Thanks.
Operator
And we’ll take our next question from Gabe Moreen with Banc of America/Merrill Lynch.
Gabe Moreen – Banc of America/Merrill Lynch
Good morning, everyone. In terms of the bump-up in fee-based volumes for Discovery I think you are expecting in the second quarter. I wonder if you can kind of discuss what your expectations are numbers-wise for the volume bump-up.
Alan Armstrong
Yes, sure. We are awaiting Tahiti startup, will probably be the most significant of those. Our line is fully commissioned and awaiting startup there. And we think that should commence in the not-too-distant future. So that’s one of the primary. There's some other smaller projects that have started up as well out there, that are items like Valley Forge and some of the other prospects that are tie-ins to some of the existing platforms that we have coming in to us today. So we are seeing a nice rebound of volumes there. And we do – the Tahiti volume we expect to be between 50 to 70 BBtus per day.
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