Mistral Midstream Inc., Calgary, reported the start of construction work on a 60-MMscfd deep-cut gas processing and NGL extraction facility, a 105-km ethane pipeline, and a 75-km gas gathering pipeline near Midale, Sask. (OGJ Online, Sept. 4, 2013).
The company recently received the required regulatory and environmental approvals for the facility and pipelines, and is now starting the work, targeting a first-half 2015 in-service date.
The $70 million cryogenic gas processing facility will be licensed for 7,500 b/d of specification ethane, specification propane, and other NGLs, and will recover 99% of the propane and heavier products from the gas, Mistral said. The facility will process gas originating from the TransGas system and from nearby sources operated by Crescent Point Resources Partnership, an affiliate of Crescent Point Energy Corp.
Ethane extracted from gas at the plant will be delivered via a 105-km, 4-in. pipeline connection to the 40,000-b/d capacity Vantage Pipeline near the US border, which then connects with the Alberta Ethane Gathering system at Empress, Alta.
“The facility’s location makes it well positioned to provide gas processing services to producers pursuing the Bakken and Torquay-Three Forks oil developments in Saskatchewan,” the company said.
Mistral also will be constructing an 8-in. gas gathering line adjacent to the ethane system capable of transporting as much as 30 MMscfd of gas from the Flat Lake-Hoffer region to the Mistral facility for NGL extraction and sales gas delivery to the TransGas system.