Pembina Pipeline Corp. has filed with the Alberta Energy Regulator (AER) for the Fox Creek, Alta., to Namao Junction, Alta., segment of its previously announced Phase III crude oil pipeline expansion. The project involves construction of a 24-in. OD, 270-km pipeline from Pembina’s pump station at Fox Creek to its Namao Junction site.
Pembina expects this segment to have an initial capacity of 320,000 b/d and an ultimate capacity of more than 500,000 b/d with the addition of midpoint pump stations. Pembina also applied to AER for an additional 16-in. OD line from Fox Creek to Namao, pending commercial support. The company expects to make a decision on the second pipeline later this year.
Subject to regulatory approval, Pembina expects the two lines to enter service between late-2016 and mid-2017. Once complete, Pembina will have three distinct pipelines in the Fox Creek to Edmonton corridor, with a designed capacity to transport as much as 885,000 b/d if fully expanded.
Pembina reached binding commercial agreements on Phase III late last year (OGJ Online, Dec. 13, 2014). In addition to the current project, Pembina’s $2-billion Phase III expansion seeks to expand pipeline interconnectivity between Namao, Edmonton, and Fort Saskatchewan including its Redwater and Heartland Hub sites as well as third-party delivery points. The company says the increased interconnectivity will provide customers access to a broad variety of delivery points including fractionators, refineries, storage hubs, and pipeline and rail take-away.
