Peace Pipeline System Expansions

Peace Pipeline System Expansions

Phase VII

Phase VII includes a new 20-inch, approximately 220-kilometre pipeline in the La Glace-Valleyview-Fox Creek corridor, as well as two new pump stations or terminal upgrades, between La Glace and Edmonton, Alberta.  Phase VII was constructed to provide transportation for the growing condensate supply in the WCSB and will divert condensate off of the existing LaGlace-Kakwa-Fox Creek corridor, creating additional firm capacity for Pembina's customers. Construction and line fill of the project are complete and final commissioning is underway. Phase VII is expected to be approximately $150 million under budget and is expected to enter commercial service on June 1, 2022.

Phase VIII (Currently Deferred)

As a result of the commitments secured and ongoing conversations with other customers, Pembina is pleased to be reactivating the previously deferred Phase VIII. The scope of Phase VIII has been optimized to align with current system constraints and forecasted future demand and redeploys certain infrastructure from the original Phase VII project scope. Phase VIII will include new 10 and 16-inch pipelines, totaling approximately 150 kilometres, in the Gordondale to La Glace corridor of Alberta, as well as additional new mid-point pump stations and terminal upgrades located throughout the Peace Pipeline system. The project is anticipated to be placed into service in the first half of 2024.

Phase IX

Phase IX will include new 6- and 16-inch pipelines debottlenecking the corridor north of Gordondale, Alberta as well as upgrades at one pump station. This expansion will see existing pipelines, which are currently batching, converted to single product lines. Once this expansion is completed, Pembina will have largely completed its objective to achieve segregated liquids transportation service for ethane-plus, propane-plus, crude and condensate across multiple pipeline systems between Gordondale, Alberta and the Edmonton, Alberta area. Phase IX also includes a pump station, in the Wapiti-to-Kakwa corridor, that is partially complete and was previously part of the Phase VII project scope. This pump station will help accommodate increased and sustained demand for NGL service also due to increased activity in the Montney.

Clearing activities are complete and mainline pipe delivery and construction are expected to commence in June. The Phase IX Peace Pipeline Expansion remains on-time and on-budget with an estimated cost of approximately $120 million and an expected in-service date in the fourth quarter of 2022.