Pembina broke ground on its Watson Island propane terminal on July 23, 2018. (City of Prince Rupert)

Pembina approves next phase in its pipeline expansion

Ultimate vision to transport natural gas liquids across the Peace Region and northern B.C.

Pembina, the company building a liquefied petroleum gas (LPG) export terminal on Watson Island, has approved the next phase in its pipeline expansion.

Phase VIII of the Peace Pipeline system was announced on Jan. 31. The $500-million pipeline expansion will address growing customer demands, and production growth in the Montney area. The project is supported by 10-year contracts with take-or-pay provisions, according to the press release from Pembina Pipeline Corporation.

“Our strategic footprint continues to provide opportunities to complete staged expansions, enabling us to deliver timely and reliable transportation service solutions for our customers,” said Mick Dilger, Pembina’s president and CEO, in the press release.

READ MORE: Pembina to begin construction on Watson Island

The next phase in Pembina’s pipeline expansion is already being engineered.

Pembina states that it’s ‘ultimate vision’ is to have transportation for segregated liquids — ethane-plus, propane-plus, crude and condensate — across four pipelines between Edmonton and Gordondale, Alberta, and for delivering 1.3 million barrels per day across the Peace Region and northern pipelines.

“Our customers continue to recognize the favorable economics in the Deep Basin and Montney areas and like us are pursuing development with a long-term outlook. Further, they appreciate the new markets we are developing such as the Prince Rupert Export Terminal and the proposed PDH/PP (propane dehydrogenation and polypropylene) facility,” added Mr. Dilger.

The pipeline corporation is a Calgary-based transportation and midstream provider.

In November 2017, Pembina announced that it will pursue developing the $250-million LPG export terminal on Watson Island on land being being leased from the City of Prince Rupert. The terminal will have the capacity of 25,000 barrels a day with LPG being moved from rail cars to smaller bulk carriers to ship to international markets.

“Watson Island where the Prince Rupert Terminal is located is serviced by CN Rail and propane will be shipped primarily from our Redwater facility in Alberta by CN. Pembina’s Redwater facility has one of the largest rail terminals in Canada,” said Sonja Kohlman, analyst, external communications for Pembina Pipeline Corporation.

Pembina broke ground on its Watson Island propane export terminal in July 2018. Since then, the company has done some early construction work and detailed engineering. The company reported in its third quarter financial statement that the project is on track and on schedule, and is expected to be in service by mid-to-late 2019.

READ MORE: Pembina Pipelines purchases Veresen Inc. in multi-billion dollar deal

To report a typo, email: editor@thenorthernview.com.


Shannon Lough | Editor
Shannon Lough 
Send Shannon email
Like the The Northern View on Facebook
Follow us on Twitter

 

Construction at Pembina’s Redwater Fractionation and Storage Facility. (Pembina Pipelines photo)

Just Posted

WATCH: Heiltsuk Nation open first Big House in 120 years in northern B.C.

Opening means the community now has an appropriate space for spiritual and ceremonial events

Prince Rupert’s students are baking it all the way to the bank

Charles Hays band students serve up goodies to fund summer trip

Two temporary voyages between Prince Rupert and Ketchikan added to AMHS schedule

October and November will see service to Alaska during the last week of each month

Police still looking for more info on missing mushroom picker in Nass Valley

65-year-old Greg Agnew was reported missing on Sept. 30

Conrad is giving thanks

Conrad students celebrate the holiday with a special meal

VIDEO: B.C. man’s yard comes alive with grizzlies at night

Malakwa man has captured images of 12 different grizzlies on video

Terrace artist turns historic downtown tree into work of art

Terrace artist carves a logger into wooden stump

First case of ‘probable’ vaping-related illness found in B.C.

Health officials warn this could be the first of many

Fire response at Trans Mountain Burnaby tank farm could take six hours: audit

Site doesn’t have mutual aid response agreement with Burnaby fire department

A year after pot legalization in Canada, it’s a slow roll

It’s one year into Canada’s experiment in legal marijuana, and hundreds of legal pot shops have opened

ELECTION 2019: Climate strikes push environment to top of mind for federal leaders

Black Press Media presents a three-part series on three big election issues

ICBC willing to loosen grip on driver claim data, David Eby says

Private insurers say claims record monopoly keeps them out

B.C. principal suspended for failing to help student who reported inappropriate touching

Principal didn’t remove student from the teacher’s class nor call the parents within a reasonable time

Port Moody mayor goes back on unpaid leave during sex assault investigation

Rob Vagramov said he intends to return as mayor in three or four weeks

Most Read