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Trans Mountain pipeline expansion project, Canada

9th February 2018

By: Sheila Barradas

Creamer Media Research Coordinator & Senior Deputy Editor

     

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Name of the Project
Trans Mountain pipeline expansion project.

Location
The pipeline will run between Strathcona County (near Edmonton), Alberta and Burnaby in British Columbia, Canada.

Client
Kinder Morgan.

Project Description
The original Trans Mountain pipeline was built in 1953 and continues to operate. The project proposes a 980 km expansion of this 1 150 km pipeline. The expansion, if approved, will create a twin pipeline that will increase the nominal capacity of the system from 300 000 bbl/d to 890 000 bbl/d.

The existing line will carry refined products and synthetic and light crude oils, with capability to carry heavy crude oils.

About 73% of the proposed route will use the existing right of way; 16% will follow other linear infrastructure, such as TELUS, hydro or highways; and 11% will be new right-of-way infrastructure.

The project includes the reactivation of 193 km of pipeline; the construction of 12 new pumpstations; the addition of 20 new tanks to the existing storage terminals in Burnaby (14), Sumas (1) and Edmonton (5); and the expansion of the Westridge marine terminal by three berths.

Potential Job Creation
British Columbians will be first in line for jobs at the project, which entails more than 75 000 person-years of employment. It will also boost the province's gross domestic product by C$19.1-billion during construction and operations over 20 years, and generate more than $2.2-billion in tax revenue for provincial and local governments.

Value
The project is expected to cost about $7.4-billion.

Duration
The project is expected to begin construction this year and to be brought into service in 2020.

Latest Developments
Canadian Prime Minister Justin Trudeau has said his government will ensure Kinder Morgan Canada’s Trans Mountain oil pipeline expansion is built and has added that the C$7.4-billion project is not a threat to Canada’s West Coast.

Trudeau has reiterated government’s position in two separate radio interviews. His comments came two days after British Columbia proposed new laws that would temporarily ban increased shipments of crude oil through the West Coast province, adding another hurdle to the delayed Trans Mountain expansion project.

The province of Alberta has pledged to sue its western neighbour over the planned legislation, calling on the federal government to step in as it has jurisdiction over interprovincial infrastructure projects. The federal government approved the expansion in 2016.

Kinder Morgan has delayed the start-up of the project to December 2020, owing to continued difficulty obtaining permits.

The project is considered crucial for Canada’s oil industry, but is fiercely opposed by British Columbia, many municipalities, some Aboriginal groups, and environmental activists concerned about possible oil spills.

Key Contracts and Suppliers
None stated.

On Budget and on Time?
Not stated.

Contact Details for Project Information
Kinder Morgan, tel + 1 855 908 9734 or email media@transmountain.com.
Trans Mountain, tel 1 866 514 6700 or email info@transmountain.com.

Edited by Creamer Media Reporter

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