Rangeland Midstream Canada Ltd., a subsidiary of Rangeland Energy III LLC, commissioned its Headwater pump station in January. The new pump station, part of the Marten Hills pipeline system in northern Alberta, is needed to service increasing volumes of crude oil from Headwater Exploration Inc., the company said in a Feb. 8 release (OGJ Online, Dec. 2, 2020).
Rangeland Canada built and commissioned the new Headwater pump station to transport Headwater’s growing oil production volumes in the Marten Hills region. Headwater recently reported a successful exploration program targeting the Clearwater formation in Marten Hills, and its board of directors approved a capital budget increase to $145 million to allow for the drilling of new exploration prospects in 2022.
“In total, 120 new wells were drilled in the Marten Hills 450,000-acre area of mutual interest in 2021,” said Briton Speer, vice-resident of business development.
The Marten Hills pipeline system throughput has doubled since startup in July 2020, and the system is now operating at 80% of capacity (OGJ Online, July 7, 2020). The system spans 85 km (52.8 miles) across northern Alberta, terminating at an interconnect with Plains Midstream Canada’s Rainbow pipeline system, which serves the Edmonton, Alta., hub and refining market.
Rangeland Canada has long-term transportation agreements in place with three of the region’s largest crude oil producers, the company said. The agreements span a 450,000-acre area of mutual interest dedicated to the Marten Hills system.