Trans Mountain pipeline could be expanded with Northern Leg

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A long -destiny proposal to build a northern branch off the system of pipelines across mountains to the coast of the northern British Columbia is attracting renewed attention as Canadian oil governments and regional governments are wrestling with the response to the new commercial winds with the United States.

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The expansion of the Trans Mountain (TMX) pipeline may have enough capacity to support the so -called TMX North Leg, which will include building a new side pipeline outside the main line near Valemount, BC, to transfer raw to an export station in Kitimat, according to sources informed on Federally owned pipelines system.

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The expansion of 300,000 to 400,000 barrels (B/D) was part of Kind Morgan's original plans for the previous TMX pipelines, which was placed in previous service agreements with SHIPPERS and in 2011 the submission to the federal organization on the pipeline lines fees And definitions.

However, by the time Kinder Morgan submitted its 2013 official request to the project with the National Energy Council (NEB), the northern station was not part of the proposal.

At that time, the company said that it preferred the twin of the current pipeline, which is 1500 km south due to the risk of high costs and uncertainty in the cost -related cost, according to what he said, according to what he said, according to what he said, according to what he said. Submit it to NEB.

But the familiar sources of the pipeline say that the northern station is still an option and that TMX has been built With sufficient capacity along Edmonton via Jasper National Park and the province of Mount Robson, to deal with it.

TV Mountain Corp (TMC) said on Friday that any important changes to the pipeline system, including expansion, are subject to regulatory approval.

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“The northern leg is not part of the Trans Mountain plans at this time,” the company said in a statement. “In order for any project to be economically applicable, a major regulatory reform will require Canada. Many projects can be technically achieved.”

TMX is currently extending from an Edmonton storage station in the south via the BC BC to Westidge Marine in Burnaby, BC

The pipeline began in 1953, with a capacity of only 150,000 barrels, although subsequent promotions doubled their production by 2008.

However, by that time, production from Alberta oil oils dramatically expanded and the pipeline was regularly in dividing – the term industry when the demand for the pipeline exceeded its ability – Kinder Morgan was actively exploring the well -known main expansion options.

In the face of organizational delay and legal setbacks, Kinder Morgan moved away from the end, which led to Ottawa's intervention to buy the project for $ 4.4 billion in 2018.

The expansion project doubled almost three times on the line to 890,000 barrels, but the price has risen to $ 34 billion by time when the service entered May 2024.

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Despite the extensive criticism of the cost, the project has been welcomed by the sector and governments to help reduce the deduction of Canadian crude caused by years of pipelines' restrictions and lack of access to global markets.

After US President Donald Trump threatened to impose a tariff on Canadian goods, including a 10 percent tariff on energy commodities, the oil, gas and governments sector has once again turned into a stubborn problem of accreditation close to Canada on the American market.

These modern concerns have been fueled throughout the country to revive old plans to build oil pipelines and other energy projects, although the headlines may be dominated by talk about Energy East in TC Energy Corp and Enbridge.

The major pipeline companies in Canada have been very careful in their modern data, as new investments were unlikely to occur without significant organizational change and consultations with indigenous population groups on mechanisms to empower ownership.

There were also calls to expand TMX, a pipeline in Canada, the only to Tidewater on the western coast, but it seems that a few outside the sector realize the former Kinder Morgan suggestion in the northern leg.

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Northern leg supporters say it may be a more applicable option than some other projects due to the costs associated with the infrastructure of the current line. Although this will require the construction of a new station on the North BC coast, the expansion of flows on the current line can also be challenged through restrictions and crowding at the marine station in Burnbei.

“It is possible that one of the most likely things we can do in a reasonable time frame,” said Richard Mason, former CEO of the Petroleum Marketing Committee at Alberta. “It is going in the right direction, because the market is Asia; this is the place where growth is located, and so we must refer.”

In response to the recent inquiries about the enhancement of sizes on TMX, TRNTAIN executives said the capacity can be increased on the current line by between 200,000 B/D and 300000 B/D using cloud reduction factors and increased pumping capacity.

In a statement on Friday, an official with the Ministry of Finance said that the government supports Trisk Mountain in managing the pipeline on a commercial basis in a way that increases its value. He also said that the project helped Canada to capture more fair value to its resources.

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The official said: “The efforts made to expand the capacity may require approvals by the energy organizer in Canada, the organizers, federal agencies and other provinces, and consultations with indigenous societies, depending on the project,” the official said.

– With files from John Evson.

• Email: mpotkins@postmedia.com

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