July 2015, Vol. 242, No. 7


First Construction Permits Awarded for Prince Rupert Gas Transmission Project

TransCanada has received the first two permits from the British Columbia Oil & Gas Commission (OGC), approving construction for two sections of the 560-mile Prince Rupert Gas Transmission (PRGT) project in northern British Columbia. The approvals are for sections that extend from 12.4 miles NW of Hudson’s Hope to 30 miles north of Fort St. James and total about 155 miles.

Construction work, which includes right-of-way clearing, will not begin on the two sections until conditions of the permits are met and a final investment decision has been made by Pacific NorthWest LNG. The permits include 70 conditions.
In other news, the National Energy Board (NEB) has recommended the federal government approve TransCanada’s proposed $1.7 billion North Montney Mainline Project connecting Montney and other Western Canadian Sedimentary Basin supply to existing and new natural gas markets, notably emerging markets for LNG.

The project will consist of two large-diameter 42-inch pipeline sections, Aitken Creek and Kahta, totaling 187 miles in length, and associated metering facilities, valve sites and compression facilities. The project will include an interconnection with TransCanada’s proposed Prince Rupert Gas Transmission Project to provide natural gas supply to the proposed Pacific NorthWest (PNW) LNG liquefaction and export facility near Prince Rupert, B.C. NGTL expects to have the Aitken Creek Section in service in 2016, and the Kahta Section in service in 2017.

The initial capacity of the North Montney Mainline will allow the shipment of 2.4 Bcf/d of natural gas. Progress Energy Canada Ltd., a subsidiary of the Malaysian energy company, Petronas, has contracted for 2 Bcf/d of firm receipt service and 2.1 Bcf/d of firm delivery service.

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