By OGJ editors
HOUSTON, Feb. 1 -- Terasen Pipelines Inc., Calgary, said it received strong support from 17 energy companies to continue with plans to expand capacity on its Trans Mountain oil pipeline to the West Coast.
The support came from existing and potential customers. Terasen and Enbridge Inc. are competing to provide pipeline capacity to handle increased production from the Alberta oil sands.
Terasen said customers participating in the company's "expression of interest" review during the last 2 months want to see additional capacity out of Alberta by 2008 to serve markets in Canada, US, and abroad.
Customers also support an expansion of the Trans Mountain oil pipeline beyond 2008, which would more than double the current system's capacity of 225,000 b/d by 2010.
Pending final commercial arrangements and regulatory approvals, Terasen's initial expansion phase will increase the system's capacity from 225,000 b/d at present to 300,000 b/d by yearend 2008.
Terasen Pipelines now will move to the next phase to finalize a tolling framework with customers leading to a formal open season, which is expected this summer.