Turning The Midstream Tide | Midstream Business
Turning The Midstream Tide | Midstream Business
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Turning The Midstream Tide Jennifer Postel
January 1, 2013
Big news flooded the midstream construction market at year end with many projects targeting takeaway solutions throughout the U.S. and beyond. The announcements come as Canadian production soars and Mexico’s consumption grows, turning the midstream tide in both directions. To that end, Kinder Morgan Energy Partners LP and its El Paso Natural Gas Co. LLC unit, along with TransCanada Corp., shifted their attention south of the U.S. border. El Paso and Kinder Morgan have entered into a 25-year transportation agreement to build the 60-mile Sasabe Lateral pipeline designed to bring U.S. natural gas to the Mexican market. According to Kinder Morgan, Sasabe Pipeline Co. will provide 200 million cubic feet (MMcf) per day of firm pipeline-transportation capacity through the new pipeline, which will extend from El Paso’s existing south mainlines near Tucson, Arizona, to Sasabe, Arizona, and then interconnect with the Sasabe Lateral. Construction is expected to begin on the approximately $200-million project in the first quarter of 2014, with an anticipated in-service date of September 2014.
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TransCanada also announced that its subsidiary, Transportadora de Gas Natural del Noroeste, will build, own and operate the Topolobampo pipeline project. According to TransCanada, the project, which is supported by a 25-year natural gas transportation service contract with Mexico’s Comisión Federal de Electricidad, will begin at El Encino, in the state of Chihuahua, and terminate at Topolobampo, in the state of Sinaloa. (See a related story in In the Pipeline column.) In Canada, Enbridge Inc. announced that its wholly owned subsidiary, Enbridge Pipelines Inc., will embark on a $1.8 billion expansion of the Edmonton-to-Hardisty, Alberta, mainline system. According to the company, the expansion, will have an initial capacity of 570,000 barrels (bbl.) per day with a potential of up to 800,000 bbl. per day. The project will also provide additional tankage and terminal facilities at both Edmonton and Hardisty. A target in service date has been set for mid-2015
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Turning The Midstream Tide | Midstream Business
Tel: +1.713.260.6400; Fax: +1.713.840.8585 Copyright© 2013 Hart Energy. All rights reserved. Reproduction in whole or in part, in any form or medium without express written permission is prohibited.
http://www.midstreambusiness.com/item/Turning-Midstream-Tide_111366[1/15/2013 3:45:22 PM]
Pipeline and Gas Technology Magazine Archives
Gas Processors Report Newsletter Archives
Submit
Prices
Finance
Gathering & Processing
Transport
Storage
Construction
Technology
Regulation
Turning The Midstream Tide Jennifer Postel
January 1, 2013
Big news flooded the midstream construction market at year end with many projects targeting takeaway solutions throughout the U.S. and beyond. The announcements come as Canadian production soars and Mexico’s consumption grows, turning the midstream tide in both directions. To that end, Kinder Morgan Energy Partners LP and its El Paso Natural Gas Co. LLC unit, along with TransCanada Corp., shifted their attention south of the U.S. border. El Paso and Kinder Morgan have entered into a 25-year transportation agreement to build the 60-mile Sasabe Lateral pipeline designed to bring U.S. natural gas to the Mexican market. According to Kinder Morgan, Sasabe Pipeline Co. will provide 200 million cubic feet (MMcf) per day of firm pipeline-transportation capacity through the new pipeline, which will extend from El Paso’s existing south mainlines near Tucson, Arizona, to Sasabe, Arizona, and then interconnect with the Sasabe Lateral. Construction is expected to begin on the approximately $200-million project in the first quarter of 2014, with an anticipated in-service date of September 2014.
MOST POPULAR
TOP SEARCH
Despite Rough 2012, Future Bright F... Spectra Energy Announces Gas Transp... January 14, 2013: Despite Rough 201... APGA, DOE Reach Settlement On Fuel ... UGI, Tenaska Resources Announce Mar... Encana's President, CEO Announces R...
TransCanada also announced that its subsidiary, Transportadora de Gas Natural del Noroeste, will build, own and operate the Topolobampo pipeline project. According to TransCanada, the project, which is supported by a 25-year natural gas transportation service contract with Mexico’s Comisión Federal de Electricidad, will begin at El Encino, in the state of Chihuahua, and terminate at Topolobampo, in the state of Sinaloa. (See a related story in In the Pipeline column.) In Canada, Enbridge Inc. announced that its wholly owned subsidiary, Enbridge Pipelines Inc., will embark on a $1.8 billion expansion of the Edmonton-to-Hardisty, Alberta, mainline system. According to the company, the expansion, will have an initial capacity of 570,000 barrels (bbl.) per day with a potential of up to 800,000 bbl. per day. The project will also provide additional tankage and terminal facilities at both Edmonton and Hardisty. A target in service date has been set for mid-2015
About Us | Advertise | Subscribe | Legal Notice | Site Map
1616 S. Voss, Suite 1000, Houston, Texas 77057-2627
http://www.midstreambusiness.com/item/Turning-Midstream-Tide_111366[1/15/2013 3:45:22 PM]
Turning The Midstream Tide | Midstream Business
Tel: +1.713.260.6400; Fax: +1.713.840.8585 Copyright© 2013 Hart Energy. All rights reserved. Reproduction in whole or in part, in any form or medium without express written permission is prohibited.
http://www.midstreambusiness.com/item/Turning-Midstream-Tide_111366[1/15/2013 3:45:22 PM]
