TransAlta pipeline approved for construction

KEEPHILLS, ALTA. — Alberta officials have approved Tidewater Midstream’s plans to build a 120 kilometre natural gas pipeline between its Brazeau River Complex to TransAlta’s generating units at Sundance and Keephills. 

Tidewater expects to start construction soon to meet a projected in-service date in late 2019. 

According to data from the province, the project will cost approximately $150 million.

The pipeline will have initial capacity of 130 MMcf/d which may be expanded to approximately 440 MMcf/d and is supported by a 15 year take or pay commitment from TransAlta. The pipeline will have expansion capability to 340 MMcf/d, which represents approximately 50 per cent of TransAlta’s gas requirements at full capacity.

“Tidewater is well positioned to commence constructing this very important piece of infrastructure that will provide a source of egress to many Alberta gas producers,” said Reed McDonnell, vice-president of acquisitions in a statement.