TransCanada plans oil pipeline to supply Canada’s eastern provinces
02 April 2013 14:35 [Source: ICIS news]
TORONTO (ICIS)--TransCanada will hold an “open season” to obtain commitments for a planned 850,000 bbl/day pipeline to ship oil from western Canada to refineries in Quebec and other eastern provinces, the energy infrastructure firm said on Tuesday.
The project – called “Energy East Pipeline” - involves converting existing natural gas pipeline capacity to crude oil and building about 1,400km of new pipeline.
The open season will begin on 15 April and will close on 17 June 2013. The project could start up in late 2017, subject to regulatory approvals and other conditions, the company added.
The Energy East Pipeline could eliminate ?xml:namespace>Canada's reliance on higher-priced crude oil currently being imported to supply refineries in eastern Canada, TransCanada said. In 2012, Canada imported more than 600,000 bbl/day of oil to supply those plants.
Last month, US refiner Valero said it would ship in oil from Texas to supply its 265,000 bbl/day refinery near Quebec City, replacing part of the more expensive Brent-priced crude oil it currently imports to feed the plant.
The planned Energy East Pipeline comes as Canada is looking to lessen its dependence on US Midwest refineries as the main export market for its oil. TransCanada’s long-delayed Keystone XL pipeline, which would enable Canadian oil to reach US Gulf Coast refineries, has yet to be approved by the US.By: Stefan Baumgarten+1 713 525 2653
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