June 26th, 2024

TransCanada plans to sell power line that operates Cypress County oil-pumping station

By Medicine Hat News on August 29, 2019.

TC Energy has applied to sell a minor power line that originates in Montana, but powers an oil-pumping station in Cypress County.

TransCanada owns the Wildhorse International Power Line, which provides power exclusively to an Express Pipeline booster in the deep south of the province. The company has told Alberta utility regulators it plans to sell the power line to Express Pipeline Ltd., a division of Enbridge. The deadline for submissions by potentially affected parties is Sept. 4.

The line, which originates in Hill County Montana, is not connected to the Alberta grid and only powers the pump station for the pipeline as it crosses the international boundary.

It was originally permitted after a lengthy review process in 1997 when it was decided that it was not economical for TransAlta, which then operated the distribution franchise in the area, to extend power to the point.

Express expansion

In unrelated news, the results are expected soon from an open call to oil producers for space on the Express Pipeline potential efficiency expansion project.

Line owner Enbridge announced on July 2 that it planned to seek interest from shippers for non-physical expansion of the line that runs from Hardisty Alberta, south through Cypress County on to Montana. It currently exports 280,000 barrels per day, and Enbridge believes increasing diluent and other non-construction measures could add an additional 50,000 barrels of capacity.

“Given the shortage of pipeline capacity out of the Western Canadian Sedimentary Basin, Enbridge has been exploring options to provide industry with incremental near term capacity,” company vice-president Guy Jarvis said in a statement. “The efficient expansion … (provides) additional takeaway capacity, which we believe will be well received by the shipping community.”

Bidding period was closed on Aug. 23.

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