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Tuesday, November 20, 2018
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Shell selects TransCanada to develop multi-billion dollar pipeline

The proposed pipeline would serve as a means of transportation for natural gas from the Montney gas-producing region near Dawson Creek, to the recently announced LNG Canada liquefied natural export facility in Kitimat B.C.

The LNG Canada project is a joint venture led by Shell, with partners Korea Gas Corporation, Mitsubishi Corporation and PetroChina Company Limited.

Currently, Shell and TransCanada are working toward the execution of a definitive agreement on the Coastal GasLink project.

Russ Girling, president and chief executive officer of TransCanada, says there are various of being selected by Shell for the project.

"Coastal GasLink will add value to British Columbians, particularly Aboriginals and communities along the conceptual route, by creating real jobs, making direct investments in communities during construction and providing economic value for years to come."

The length of the potential GasLink pipeline project would be approximately 700 kilometres of large diameter pipeline, which would allow an initial pipeline capacity in excess of 1.7 billion cubic feet of gas per day.

The new project would also open up an estimated 2000-2500 direct construction jobs over a three year construction period.

Girling adds the project will be a collaborative effort between his company and the rest of the province.

"We appreciate the confidence that Shell and its partners have placed in us to build, own and operate this natural gas pipeline in British Columbia," he says. "We will work collaboratively with them, Aboriginals and other stakeholders as we launch into the initial phases of construction and regulatory review."

The final pipeline route will consider a variety of factors, including Aboriginal and stakeholder input, the environment, archaeological and cultural values, land use compatibility, safety, constructability and economics.

In addition to transporting B.C.’s natural gas to the west coast, there will also be a focus on shipping nationally as well. The new pipeline would also provide options for shippers to access gas supplies through an interconnection with the NOVA Gas Transmission Ltd. system and the liquid NIT trading hub operated by TransCanada.

Currently, TransCanada has approximately 24,000 km of pipeline in operation in Western Canada, including 240 km of pipeline in service in northeast B.C., with another 125 km of proposed additions either already having received regulatory approval or currently undergoing regulatory review.

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