Page 13 - NorthAmOil Week 42

NorthAmOil PIPELINES & TRANSPORT NorthAmOil

Ottawa approves Nova Gas

Transmission expansion

ALBERTA THE Canadian government has approved a proposed by the Canada Energy Regulator
CAD2.3bn ($1.7bn) expansion of the Alberta (CER) and added one new condition, with the
portion of TC Energy’s Nova Gas Transmission changes aimed at better addressing indigenous
Ltd (NGTL) gas-gathering and transportation rights and mitigating the impacts of construction
system. The expansion is expected to contrib- on caribou habitat. As a result, TC Energy will
ute around CAD1.2bn ($913mn) to Alberta’s now be required to restore 3,840 hectares (38.4
economy. square km) of caribou habitat – an area 30 times
The NGTL system, which spans Alberta and the size of the habitat that is set to be affected by
north-eastern British Columbia, carries gas pro- the project. An indigenous working group will
duced in the Western Canadian Sedimentary also be formed to assist with the restoration and
Basin (WCSB) to markets in Canada and the US. monitoring plan.
The expansion will add 344 km of new pipeline TC Energy said in an October 20 statement
to the existing 24,568-km system from west of that it expected to begin preparing for the start of
Red Deer to near Grande Prairie, Alberta. construction immediately. The company antic-
Natural Resources Canada said the expansion ipates that compressor station field work will
would help to facilitate Canada’s planned phase- begin in December 2020, followed by the start of
out of coal-fired power generation by 2030. pipeline construction activities in January 2021.
Canadian Minister of Natural Resources Seamus The expansion will enter service over 2021-
O’Regan said the expansion had been approved 22. TC Energy described it as a “critical com-
by the government as part of a “commitment to ponent” of the CAD9.9bn ($7.5bn) NGTL
moving forward with good projects.” infrastructure programme, which is currently
The approval is dependent on the fulfilment underway. The programme will add 3.5bn cubic
of 35 conditions. O’Regan said the govern- feet (99mn cubic metres) per day of incremental
ment had strengthened five of the conditions delivery capacity between 2020 and 2024.™

Kinder Morgan receives green light

to start Acadiana construction

LOUISIANA KINDER Morgan has received permission from modifications and add control valves at a bidi-
the US Federal Energy Regulatory Commission rectional meter station in Evangeline Parish, as
(FERC) to begin construction on the Acadiana well as building auxiliary facilities.
natural gas expansion project in Louisiana. The Acadiana expansion project comes as
The $143mn project will add around 950mn Cheniere is in the process of a sixth liquefaction
cubic feet (27mn cubic metres) per day of gas train at Sabine Pass. The train is anticipated to
capacity flowing south from existing pipeline enter service in the second half of 2022.
interconnects on the Kinder Morgan Louisiana In other news for Cheniere, the company is
Pipeline (KMLP) system by expanding com- reported not to have received any cargo cancel-
pression facilities. Kinder Morgan said most of lations for loading in December from its two
this gas would go to Cheniere Energy’s Sabine Gulf Coast terminals. This is the first time this
Pass LNG export terminal in Louisiana, while has happened since the coronavirus (COVID-
the remainder would be available for sale to the 19) pandemic hit global energy demand began
market. in March, and has been welcomed as a sign of
The project is anticipated to be in service recovery in the LNG market ahead of winter.
around the second quarter of 2022. For Cheniere, which was hardest hit by US
Kinder Morgan’s application for the Acadi- cargo cancellations as the country’s largest LNG
ana project was filed in June 2019, requesting exporter, this marks a piece of good news during a
the FERC’s approval to add three 31,900-horse- largely disruptive year. The company also said this
power gas turbine compressor units at the week that the cause of a fire on October 11 in Train
company’s existing Compressor Station 760 1 was still under investigation and the equipment
in Acadia Parish, Louisiana. Kinder Morgan – within a thermal oxidiser – remained isolated
also requested permission to make piping while repairs were taking place.™

Week 42 22•October•2020 www. NEWSBASE .com P13