TransCanada to build 500-km Northern Alberta crude-diluent system

TransCanada Corp. has agreed with Phoenix Energy Holdings Ltd. to develop the Grand Rapids Pipeline project in Northern Alberta. TransCanada and Phoenix will each own 50% of the proposed $3-billion pipeline, which will transport 900,000 b/d of oil and 330,000 b/d of diluent roughly 500 km between northwest of Fort McMurray and the Edmonton-Heartland region.

TransCanada expects the Grand Rapids Pipeline system enter service early-2017, subject to regulatory approvals. TransCanada will operate the system and Phoenix has entered a long-term commitment to ship crude oil and diluent on it.

Phoenix described the project as part of relieving transportation bottlenecks in the Athabasca region as it develops its Dover and MacKay River oil sands assets through multiple phases. Phoenix is an affiliate of PetroChina Investment (Hong Kong) Ltd. PetroChina became 100% owner of what was formerly Athabasca Oil Sands Corp.’s MacKay River project earlier this year, buying the 40% stake it did not already own (OGJ Online, Jan. 5, 2012).

TransCanada said the Grand Rapids Pipeline system would expand its liquids transportation capabilities in the region. The company recently announced the Northern Courier Pipeline project, a 90-km system to transport bitumen and diluent between the Fort Hills mine site and the Voyageur Upgrader north of Fort McMurray, Alta. (OGJ Online, Aug. 1, 2012).

TransCanada expects to apply for regulatory approval for the project in 2013. Grand Rapids will be constructed, owned, and operated by Grand Rapids Pipeline LP, jointly owned by Phoenix and a wholly-owned subsidiary of TransCanada.

Contact Christopher E. Smith at chriss@ogjonline.com.

Related Articles

NGSA asks Congress to pass bills facilitating LNG exports

03/27/2014 The Natural Gas Supply Association called on Congress to support legislation that would facilitate more LNG exports. “Exporting LNG overseas will h...

US, European energy leaders to discuss gas diversification measures

03/27/2014 Top US government energy officials and their counterparts from other G7 nations will meet early next week to discuss reducing Europe’s heavy relian...

Santos buys gas reserves for Queensland LNG plant

03/27/2014 The WestSide Corp.-Mitsui joint venture has been let a contract to supply gas to the Santos Ltd.-led Gladstone LNG project for 20 years beginning i...

Total, CNOOC sign LNG cooperation agreement

03/26/2014 Total SA and China National Offshore Oil Corp. (CNOOC) have reached an LNG cooperation agreement that will expand upon the companies’ existing 15-y...

Careers at TOTAL

Careers at TOTAL - Videos

More than 600 job openings are now online, watch videos and learn more!

 

Click Here to Watch

Other Oil & Gas Industry Jobs

Search More Job Listings >>
Stay Connected