Canada's NEB receives PanCanadian's application to build the Deep Panuke natural gas pipeline

March 19, 2002
PanCanadian Energy Corp., Calgary, has submitted to Canada's National Energy Board an application to build its Deep Panuke natural gas pipeline off Nova Scotia. The field, about 250 km east of Halifax, NS, on the Scotian shelf, is estimated to hold 1 tcf of gas.


By the OGJ Online Staff
HOUSTON, Mar. 19 -- PanCanadian Energy Corp., Calgary, has submitted to Canada's National Energy Board an application to build its Deep Panuke natural gas pipeline off Nova Scotia. .

The pipeline is part of a development project for the field, which is estimated to hold 1 tcf of gas about 250 km east of Halifax, NS, on the Scotian shelf. (OGJ, mar. 181, 2002, Newsletter, p. 8).

Deep Panuke, which underlies Panuke-Cohasset oil field, is the second major gas development on the Scotian shelf, following the Sable Island area gas fields development that went on stream in late 1999.

NEB has yet to announce the procedures for dealing with the application, although PanCanadian has said regulatory hearings are expected to start in the fall. PanCanadian also filed with the Canada-Nova Scotia Offshore Petroleum Board.

Both filings cover the technical aspects of the project, its economic benefits, the potential environmental and socioeconomic impacts, and public consultation.

PanCanadian anticipates spending $1.1 billion (Can.) on the project, with operating expenses pegged at $60 million.

The project involves the construction of platform-based gas processing facilities offshore as well as a subsea pipeline network to transport the gas to shore. Offshore, components will include three new bridge-linked platforms installed near the existing Panuke platform. About 179 km of 24-in. pipeline will carry gas from the platform complex to landfall at Goldboro, NS, where the system will tie in with the existing Maritimes & Northeast Pipeline system.

Panuke will have a production design capacity of 400 MMcfd, expandable to 650 MMcfd. First gas is expected in 2005.