TransCanada proceeds with NGTL expansion project

It announced that – in the period to 2021 – it would invest CA$2 billion (US$1.51 billion) in the project, based on new contracted customer demand for approximately 85 million m3 per day of incremental firm receipt and delivery services.

“Between now and 2021, TransCanada is investing approximately CA$2 billion in new pipeline infrastructure to connect Western Canadian natural gas production to key markets within the basin and across North America,” said TransCanada Canada and Mexico Natural Gas Pipelines and Energy Executive Vice President and President Karl Johannson.

“This expansion adds to the current CA$5.1 billion (US$3.85 billion) near-term capital program for the NGTL System, further enhancing our ability to meet the needs of our customers for safe, reliable and competitive gas transmission infrastructure.”

The project includes five new pipeline sections, 273 km in total, the construction of two compression facilities, new meter stations and other associated facilities.

“The NGTL System remains a key component of TransCanada’s high-quality portfolio of energy infrastructure assets that continue to produce solid results across various market conditions,” said Mr Johannson.

“Our strategy is to maintain and optimise NGTL’s competitive position and to focus on growing our established network to connect growing volumes of Western Canadian Sedimentary Basin natural gas to key market areas.”

It is expected to generate CA$1.2 billion (US$895 million) in Canadian goods and services during construction, including CA$800 million (CA$597 million) on labour.

The NGTL System is part of TransCanada’s CA$48 billion (US$35.8 billion) capital-growth plan, which includes CA$23 billion (US$17.2 billion) towards new natural gas pipelines.

For more information visit the TransCanada website.

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