The Mackenzie Gas Project includes construction of the 1,196 km Mackenzie Valley Pipeline, development of three onshore natural gas fields, construction of a 457 km pipeline to carry natural gas liquids from Inuvik, Northwest Territories, to an existing oil pipeline at Norman Wells, Northwest Territories and other related facilities.
The Mackenzie Valley Pipeline would run from the Beaufort Sea to northwestern Alberta, and is designed to carry up to 1.2Bcf/d of natural gas.
The NEB attached 264 conditions to the project’s approval in areas such as engineering, safety and environmental protection.
A similar project was first slated in 1974 when a consortium of 27 companies, referred to as Canadian Arctic Gas Pipeline Ltd, applied to the NEB to build a pipeline to ship natural gas from Alaska and the Mackenzie Delta to southern markets. In 1977 the NEB denied the application citing environmental concerns.
The application for the current pipeline project was submitted by Imperial Oil Resources in 2004 and the NEB began hearing evidence in January 2006.
If this decision is approved by Canada’s Governor in Council, the NEB will then issue the appropriate approvals, including a Certificate of Public Convenience and Necessity.
If the proponents decide to build the Mackenzie Gas Project, they would also be required to obtain various permits and authorizations from other boards and government agencies before construction could commence.
The Mackenzie Valley Project is a joint venture between Imperial Oil Resources Ventures, ConocoPhillips Canada, Shell Canada, ExxonMobil Canada and Aboriginal Pipeline Group.
For a detailed review of some of Canada’s most exciting pipeline projects and industry developments see The pipeline developers building energy lifelines in Canada from the June edition of Pipelines International.