May 2013, Vol. 240, No. 5

Projects

2,725-Mile Crude Line Planned In Eastern Canada

TransCanada wants to build a 2,725-mile pipeline that will carry between 500,000-850,000 bpd of crude from Alberta and Saskatchewan to refineries in eastern Canada. When completed, it will create a domestic market for western Canada’s oil production and potentially open a channel for international exports.

TransCanada is holding a binding open season from April 15 to June 17 to obtain firm long-term commitments from interested parties for the pipeline.

The Eastern Oil Pipeline Project (Energy East Pipeline) involves three major components: pipeline conversion, construction of pipeline and pipeline facilities. Energy East will make use of an existing natural gas pipeline and will convert the pipeline to oil service. New sections of pipe will also need to be built in Alberta, Saskatchewan, eastern Ontario, Québec and New Brunswick to link up with the newly converted pipe. Associated facilities including pump stations, tank terminals and marine facilities will be built to move the oil from Alberta to New Brunswick and beyond.

While the exact route will be determined after public and regulatory review, the planned starting point is a new tank terminal in Hardisty, Alberta. Three other terminals will be built along the route: Saskatchewan, Québec City area and the St. John, New Brunswick area. The terminals in the Québec City and Saint John areas will include facilities for marine tanker loading. The project will include delivery to existing Québec refineries in Montréal and near Québec City as well as the refinery in St. John.