Enbridge Inc. (NYSE:ENB) has filed an application with the National Energy Board for the construction and operation of the Enbridge Northern Gateway Pipeline which involves a new twin pipeline system between Edmonton, Alberta and a new marine terminal in Kitimat, British Columbia to export petroleum and import condensate.
"The Enbridge Northern Gateway Pipeline project will open important new markets for Canadian crude oil; it will create jobs and a substantial long-term boost to our nation's economy as well as the communities through which it will pass," said Patrick D. Daniel, President and Chief Executive Officer, Enbridge Inc. "With an estimated capital cost of $5.5 billion, Northern Gateway is expected to create thousands of job opportunities for regional residents throughout project construction and operations, while providing approximately $36 million of local property taxes on an annual basis."
The eight-volume regulatory application provides a comprehensive overview of the proposed project and its benefits and will be assessed by a Joint Review Panel recently established by the Minister of the Environment and the National Energy Board. The application covers all aspects of the proposed project including the environmental and socio-economic assessment, environmental protection and risk management measures, engineering, construction and operations, public consultation and Aboriginal engagement, marine transportation and project economics.
The Northern Gateway Pipeline project involves a 1,172 kilometer twin pipelines system, running underground from near Edmonton, Alberta to Kitimat, British Columbia, associated pipeline facilities and a tank terminal and marine terminal located in Kitimat. One pipeline, a 36-inch diameter line with an initial capacity of 525,000 bpd, would transport crude oil for export from the Edmonton area to Kitimat. The other pipeline, a 20-inch diameter line with an initial capacity of 193,000 bpd, would be used to import condensate. A tank terminal and marine terminal, referred to as the Kitimat Terminal, is also part of the project. The Northern Gateway Pipeline is expected to be in service in 2016, subject to finalization of commercial terms with industry, and regulatory approvals.