TransCanada files for permit to build North Montney Mainline project

TransCanada files for permit to build North Montney Mainline project
Illustration purposes only (Image courtesy of TransCanada)

Calgary-based TransCanada filed a variance application with the National Energy Board to proceed with construction of the North Montney Mainline project in northeast British Columbia.

TransCanada has previously been granted the required primary federal and provincial approvals to construct NMML, subject to conditions that included the requirement for a positive final investment decision on the proposed Pacific Northwest LNG (PNW) project.

The requested variance would allow the North American energy infrastructure operator to move forward with construction of the majority of the NMML project, at an estimated capital cost of approximately CAD$1.4 billion (Approx: US$1.04 billion), prior to a final investment decision on the Pacific NorthWest LNG project.

In support of the variance for the NMML project, TransCanada has secured new 20-year commercial contracts with 11 shippers for approximately 1.5 Bcf/d of firm service.

“This project adds significant pipeline capacity that connects new gas supplies from the prolific Montney basin to the NGTL system and will provide access to markets across North America,” said Karl Johannson, TransCanada’s executive vice president and president, natural gas pipelines.

Subject to regulatory approvals, TransCanada plans to begin construction in the first half of 2018, with facilities being phased into service over a two-year period, beginning in April 2019.

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