The acquisition of Westcoast Energy’s Canadian NGL business by a subsidiary of Plains All American Pipeline has been completed.
The acquisition, which includes the Empress NGL extraction and fractionation facility, the Petroleum Transmission Company pipeline, seven NGL terminals and two NGL storage facilities in western Canada, was completed for $204 million.
The assets have been described as a strategic complement to Plains Midstream Canada’s (PMC) existing core Canadian NGL midstream operations, adding 580 miles of pipeline from Empress to the Fort Whyte Terminal in Winnipeg to its existing 1,600 miles of NGL pipeline.
It will also increase the company’s current pipeline capacity by an additional 15,500 barrels per day. Additionally, the assets include 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.
Dave Duckett, CEO of PMC says: ‘Integrated with our current infrastructure, these assets create flexibility and optionality in our NGL business platform supporting continued long-term profitability and growth for PMC.’