TransCanada builds gas storage facility

By OGJ editors

HOUSTON, Jan. 22 -- TransCanada Corp. is developing a $200-million (Can.) natural gas storage facility near Edson, Alta.

The 50-bcf facility, which will connect to TransCanada's Alberta system, will make TransCanada the owner of more than 110 bcf of storage capacity, one third of Alberta's total.

TransCanada recently signed a long-term contract with a third party for up to 40 bcf of existing Alberta-based storage capacity. The company owns 60% of CrossAlta Gas Storage & Services Ltd., which operates a 40-bcf storage facility near Crossfield, Alta.

The company plans to provide fee-based gas storage services directly to customers by April. It will phase in capacity of the Edson facility starting early in the second quarter of 2006.