TWO NATURAL GAS PIPELINES IN CANADA SLATE EXPANSIONS

July 5, 1993
Two Calgary natural gas pipeline companies are raising $260 million in financial markets to pay for export related system expansions. Nova Corp. agreed with underwriters for a public issue of $150 million in debentures. Alberta Natural Gas Ltd. forged a deal with brokers for sale of $110 million in debentures. The money will finance an expansion in British Columbia tied to a pipeline expansion to export markets in California and the Pacific Northwest by Pacific Gas Transmission Ltd., San

Two Calgary natural gas pipeline companies are raising $260 million in financial markets to pay for export related system expansions.

Nova Corp. agreed with underwriters for a public issue of $150 million in debentures.

Alberta Natural Gas Ltd. forged a deal with brokers for sale of $110 million in debentures. The money will finance an expansion in British Columbia tied to a pipeline expansion to export markets in California and the Pacific Northwest by Pacific Gas Transmission Ltd., San Francisco.

Meanwhile, several other pipeline projects are planned or have approval.

Interprovincial Pipe Line System Inc., Edmonton, was scheduled June 30 to apply for a previously announced $275 million expansion of its crude oil pipeline to eastern Canada and the U.S.

The project, to be complete in 1994, will add 110,000 b/d to system capacity.

Interprovincial also will join Williams Pipe Line Co., Tulsa, to lay a 100,000 b/d extension of its system into the U.S.

The project calls for a 199 mile connection at Chicago with IPL's Lakehead Pipeline Co. to the Patoka oil pipeline hub in southern Illinois. The project is part of an expansion plan that includes the 110,000 b/d expansion of the Interprovincial system from western Canada to central Canada and the U.S.

IPL Pres. Brian MacNeill said the project will help reduce price discounting at Chicago of as much as $1/bbl due to capacity limitations in the system.

In other action, Westcoast Energy Inc., Vancouver, B.C., received Canadian National Energy Board approval for a $300 million expansion of its natural gas pipeline system.

The project, near Chetwynd, in northern British Columbia, will increase capacity of Westcoast's Pine River gas processing and Grizzly pipeline system to 560 MMcfd from the current 260 MMcfd.

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