CALGARY, Alberta, July 25 Enbridge Inc,
Canada's largest pipeline company, said on Thursday it will
build a $1.3 billion extension to its Woodland crude line in
northern Alberta to serve Imperial Oil's Kearl oil
The 345-kilometer (214-mile) extension will have initial
capacity of 400,000 barrels per day, with the ability to be
expanded up to 800,000 bpd depending on crude viscosity.
It will extend the Woodland Pipeline south from Enbridge's
Cheecham terminal to its Edmonton terminal to connect with
refineries and export pipelines in that area.
Imperial's recently opened Kearl oil sands project was
producing around 40,000 bpd in June, according to Glenn Scott,
senior vice president for resources, and is expected to reach
its full 110,000 bpd capacity over the summer.
"Extension of the Woodland Pipeline will bring additional
crude oil transportation capacity into the Edmonton area,
enabling us to accommodate forecasted regional oil sands
production growth from the Kearl project and other oil sands
projects targeted for delivery into the Edmonton hub," Stephen
Wuori, president of liquids pipelines and major projects at
Enbridge, said in a statement.
The extended pipeline is expected to be in service by the
third quarter of 2015. The Woodland pipeline between the Kearl
oil sands project and the Enbridge Cheecham terminal started
running in the autumn of 2012.
The majority of the proposed route will follow an existing
Enbridge right-of-way and be in a shared corridor with the
600,000 bpd Waupisoo line.
Edmonton, Alberta, is close to three refineries, including
Imperial's 187,000 bpd Strathcona facility, and the starting
point for export pipelines running west to the coast of British
Columbia as well as south to the United States.