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Trans Mountain pipeline expansion project, Canada

20th April 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 Canada (KMC).

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 moved to end an escalating crisis over Trans Mountain pipeline expansion project, saying Ottawa is prepared to offer financial aid to ensure the project progresses.

Trudeau has cited investor confidence as one reason to help Kinder Morgan Canada.

The company, unhappy about plans by the British Columbia government to impede the project on environmental grounds, is threatening to walk away unless it receives sufficient clarity about the path ahead by May 31.
“I have instructed the Minister of Finance to initiate formal financial discussions with Kinder Morgan, the result of which will be to remove the uncertainty overhanging the Trans Mountain pipeline expansion project,” Trudeau has said.


Trudeau has declined to give details on exactly what the ruling Liberals have in mind to end an impasse that is prompting investor unease and could threaten his political future.

The federal and Alberta governments have suggested they could take a stake in the project.
 

 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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