Plains Midstream Canada ULC (PMC), a wholly-owned subsidiary of Plains All American Pipeline LP (NYSE: PAA), has completed the previously announced acquisition of the Canadian natural gas liquids (NGL) business from Westcoast Energy Inc., a wholly-owned subsidiary of Spectra Energy Corp., for a cash purchase price of approximately C$267 million (USD $204 million), including approximately C$67 million (USD $51 million) for inventory and working capital.
The acquisition includes an integrated system of assets, consisting of the Empress NGL extraction and fractionation facility, the Petroleum Transmission Company (PTC) pipeline, seven NGL terminals and two NGL storage facilities in Western Canada.
The acquired assets complement PMC's existing core Canadian NGL midstream operations adding 580 miles of pipeline from Empress, AB, to the Fort Whyte Terminal in Winnipeg, MB, to the company’s existing 1,600 miles of NGL pipeline and increases its current pipeline capacity by an additional 15,500 barrels per day. The assets also include an additional 2.4 billion cubic feet per day of NGL extraction capacity and 63,000 barrels per day of fractionation capacity at Empress as well as 4.7 million barrels of NGL storage.
The Empress NGL extraction and fractionation facility and the PTC pipeline system gives PMC access to seven truck terminals and three rail loading facilities across the system.