On August 24 Enbridge announced the filing of commercial agreements that will see both the condensate and oil export pipelines of the Northern Gateway Project running at capacity for the long-term should the project get the green light from the Federal Government.
“Commercial support for the project from both Canadian oil producers and Asian markets reinforces the international importance of the project to Canada – facilitating access to world markets and international pricing for Canada’s most valuable non-renewable resource…This support demonstrates the need for Northern Gateway and is a major step forward for the Project,” said Janet Holder, Enbridge’s Executive Vice President, Western Access.
“Northern Gateway will link two of Canada’s most important competitive strengths: our tremendous petroleum reserves and our Pacific advantage – safe deepwater ports that are close to the growing markets of the Pacific Rim. The project has the potential to move Canada into receiving premium prices in the global energy marketplace, rather than the landlocked, one customer price-taker it is today.”
The names of the parties that have signed the agreements are being kept confidential while the project remains under review.
The Enbridge Northern Gateway Project is a proposed $5.5-billion 1,177-km twin pipeline system and marine terminal. The proposed project, currently under regulatory review, would transport 525,000 barrels per day (bpd) of oil for export and import 193,000 bpd of condensate.