Keyera takes 50% stake in portion of Grand Rapids pipeline
Aug. 10, 2015
Keyera Corp. has agreed to acquire 50% interest in the southernmost section of the 20-in. diluent Grand Rapids pipeline, entering into a 50-50 joint venture with the Grand Rapids Pipeline Limited Partnership, a 50-50 JV of TransCanada Corp. and PetroChina Co. Ltd. Canadian subsidiary Brion Energy Corp.
Keyera Corp. has agreed to acquire 50% interest in the southernmost section of the 20-in. diluent Grand Rapids pipeline, entering into a 50-50 joint venture with the Grand Rapids Pipeline Limited Partnership, itself a 50-50 JV of TransCanada Corp. and PetroChina Co. Ltd. Canadian subsidiary Brion Energy Corp.
The 45-km pipeline will be constructed by Grand Rapids and will extend from Keyera's Edmonton terminal to TransCanada's Heartland terminal near Fort Saskatchewan (OGJ Online, May 3, 2013). Keyera will also contribute a new pump station at its Edmonton terminal.
Grand Rapids expects its total contribution to the joint venture to be $140 million. Keyera will operate the pipeline once construction is complete and the facilities are in-service.
The expected in-service date is in the second half of 2017 subject to regulatory approvals.
