Estimated cost of Towerbirch expansion drops to $439M

NOVA Gas Transmission Ltd. has revised the estimated cost of its proposed Towerbirch pipeline expansion to $439 million, down from an earlier estimate of $470 million.

In additional evidence filed with the National Energy Board, the company says the revised cost estimate includes the addition of two new meter stations at Dawson Creek East and Groundbirch East. The proposed Dawson Creek East receipt station will be located along the Groundbirch Mainline Loop, approximately two kilometres north of Dawson Creek, while the proposed Groundbirch East receipt meter station will be on the site of the existing Groundbirch East meter station, approximately 36 kilometres west of Dawson Creek.

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Subject to regulatory approval, pipeline construction is scheduled to begin in March 2017 with a targeted in-service date of November 2017.

NGTL also says that since filing its application in September 2015, it has executed contracts with five new customers for an additional 269 million cubic feet  (mmcf)per day of firm transportation receipt service on the Groundbirch Mainline. The project is now underpinned by contracts totalling 859 mmcf per day of firm transportation commitments, including 590 mmcf per day from the Cutbank Ridge Partnership.

The Towerbirch expansion project consists of approximately 55 kilometres of 36-inch outside diameter pipe (Groundbirch Mainline Loop) that will parallel the Groundbirch Mainline while the Tower Lake section consists of approximately 32 kilometres of 30-inch pipeline. Two proposed tie-ins are along the Tower Lake section.  

The project, which is located on both private and Crown land, will be adjacent to existing or proposed linear disturbance for approximately 68.9 kilometres (78.8 per cent) of the route. The majority (81 per cent) of the 388.8 hectare-route is comprised of existing disturbance with 75 hectares (19 per cent) of the project crossing natural upland vegetation and wetlands. The route also crosses 24 watercourses.

In its additional written evidence, the company also details its record of engagement with 27 Aboriginal groups.


-- Daily Oil Bulletin

@ Copyright Pipeline News North


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