TRANSCANADA EXPANSION CLEARED

Canada's National Energy Board has given final approval to a $2.6 billion (Canadian) pipeline project designed to ship more gas from western Canada to the U.S. Northeast. The expansion by TransCanada PipeLines Ltd., Calgary, will link up with the Iroquois Gas Transmission System at Iroquois, Ont., to deliver gas to New England and New York State. TransCanada owns a 29% interest in Iroquois.

May 20, 1991

Canada's National Energy Board has given final approval to a $2.6 billion (Canadian) pipeline project designed to ship more gas from western Canada to the U.S. Northeast.

The expansion by TransCanada PipeLines Ltd., Calgary, will link up with the Iroquois Gas Transmission System at Iroquois, Ont., to deliver gas to New England and New York State. TransCanada owns a 29% interest in Iroquois.

The TransCanada expansion, some of which was approved earlier and is under construction, involves 994 miles of loops in Saskatchewan, Manitoba, and Ontario, 21 compressor units, and two compressor stations. The project will increase TransCanada capacity by about 830 MMcfd, with 677 MMcfd going to the U.S. Northeast.

Some gas from the expanded system this fall will go to Iroquois, now under construction, but volumes will be less than final deliveries. Both pipeline systems are scheduled for completion by November 1992.

NEB also approved 15 gas export permits covering a total 1.6 tcf during 15 years, mainly to the U.S. Northeast.

Minimum revenue gains by Alberta producers from increased sales are estimated at $500 million (Canadian)/year.