Two Canadian Gas Pipelines Mark Progress

July 14, 1997
Two export-oriented Canadian natural gas pipeline projects have moved forward in the regulatory process with applications to the National Energy Board. The Calgary-based Alliance Pipe- line group filed a bid to build a 1,864-mile line from northeastern British Columbia to the U.S. Midwest. Alliance filed a similar application in 1996 with the Federal Energy Regulatory Commission.

Two export-oriented Canadian natural gas pipeline projects have moved forward in the regulatory process with applications to the National Energy Board.

The Calgary-based Alliance Pipe- line group filed a bid to build a 1,864-mile line from northeastern British Columbia to the U.S. Midwest. Alliance filed a similar application in 1996 with the Federal Energy Regulatory Commission.

Alliance wants to begin construction in mid-1998 and start deliveries late in 1999. The group says it has long-term commitments to cover 98% of its planned 1 bcfd capacity on the $3.6 billion (Canadian) line (OGJ, July 7, 1997, Newsletter).

Meanwhile, Trans Quebec & Maritimes Pipeline Inc. (TQM) has filed an application for its planned system, which would connect gas from Sable Island off Nova Scotia to markets in Quebec, Ontario, and to the U.S. Northeast via the Portland Natural Gas Transmission System (Pngts).

Sable Island gas lines

TQM filed an application to build a 192-mile, 24-in. line from St. Nicolas, Que., to the New Brunswick border.

TQM also wants to build 8.4 miles of looping and additional compression and metering facilities for delivery to Quebec markets and Pngts. Projected cost of the projects is $305.3 million with an in-service date of Nov. 1, 1999.

TQM said the new facilities are required to provide service to be requested for transportation of Sable Island gas to markets in Quebec, Ontario, and the U.S. Northeast via TQM's pipeline extension from Lachenaie to East Hereford, Que.

The company applied in April to build 132 miles of 24-in. line from Lachenaie to the Canada/U.S. border near East Hereford and connection with Pngts. Proposed in-service date is November 1998.

TQM also plans to file an NEB application in August to build a line from Goldboro, N.S., to connect to the TQM system at the Quebec/New Brunswick border.

A rival project, Maritimes & Northeast Pipeline, headed by Mobil Oil Canada Ltd., has already filed an application for a line to move gas from Sable Island to markets in the U.S. Northeast.

The Nova Scotia government criticized Gaz Metropolitain Inc., Montreal, for making a late bid for a Sable Island pipeline system. Gaz Metropolitain is a partner in the TQM project. Nova Scotia Economic Development Minister Richie Mann said the TQM application could delay the Sable Island project.

Copyright 1997 Oil & Gas Journal. All Rights Reserved.