A merger of Canada's two largest natural gas pipeline companies raises competition and regulatory issues but could reduce operating costs and benefit the oil industry as a whole, analysts say. They add that the $14 billion (Canadian) marriage of TransCanada PipeLines Ltd. and NOVA Corp. would create a corporate entity with major league clout in the North American pipeline industry.
Potential cost savings
The Canadian Association of Petroleum Producers (CAPP) said it is unclear how the merger will affect producers, but it will bring major changes in the oil industry.
Greg Stringham, CAPP's vice-president of markets and transportation, said there is very strong pote...