Plains discontinues Alberta NGL pipeline JV with Keyera

Plains All American Pipeline LP’s wholly owned subsidiary Plains Midstream Canada ULC (PMC) has discontinued its joint pursuit with Keyera Corp. of the construction and operation of the proposed Western Reach NGL pipeline system.

Plains All American Pipeline LP’s wholly owned subsidiary Plains Midstream Canada ULC (PMC) has discontinued its joint pursuit with Keyera Corp. of the construction and operation of the proposed Western Reach NGL pipeline system.

Western Reach would have extended from the Gordondale area of northwestern Alberta to the NGL hub in Fort Saskatchewan, consisting of two newbuild pipelines, one dedicated to a mixture of propane, butane, and condensate (NGL mix) and the other to segregated condensate service (OGJ Online, Apr. 11, 2013). The 570-km Western Reach would have crossed the Deep basin, including the Montney and Duvernay zones.

PMC said it is continuing to evaluate opportunities to participate in expected Deep basin NGL growth, whether through other newbuild opportunities, expansion of existing systems, or both.

Keyera earlier this month announced a joint venture with Kinder Morgan Energy Partners LP to build a crude oil rail loading terminal in Edmonton next to Keyera’s diluent terminal (OGJ Online, Aug. 2, 2013).

Contact Christopher E. Smith at chriss@ogjonline.com.

More in Pipelines