AltaGas advances plans for liquids separation facility

AltaGas Ltd., a Canadian midstream company, received a permit from the B.C. Oil and Gas Commission to construct, own and operate AltaGas’ proposed North Pine Liquids Separation Facility.

The North Pine facility is located about 25 miles northwest of St. John, British Columbia, Canada. AltaGas anticipates the North Pine facility will connect to existing AltaGas infrastructure in the region, including the proposed Ridley Island propane export terminal. The company also expects the facility will serve producers in the Montney region of Canada.

“Receiving regulatory approval for our North Pine facility is a major milestone for our northeast British Columbia strategy and the overall energy value chain we can offer producers,” says David Harris, president and CEO of AltaGas. “With the North Pine facility under development, we can offer producers in Montney a new alternative for their products, including the ability to reach new markets such as Asia through our proposed Ridley Island propane export terminal.”

The North Pine facility will have the capacity to process 20,000 barrels per day (bpd) of propane-plus and handle up to 20,000 bpd of natural gasoline. In conjunction with the North Pine facility, AltaGas continues to develop two liquids supply lines connecting the Alaska Highway truck terminal to the North Pine facility.

AltaGas submitted an application to the B.C. Oil and Gas Commission at the end of August for permitting the liquids supply lines. The North Pine facility and the two liquids supply lines are expected to cost $190 to $210 million. AltaGas expects to receive regulatory approval on the North Pine facility in the fourth quarter of 2016, along with a final investment decision on it.