Access Pipeline Engineering New Bitumen Pipeline in Oil Sands Rich Alberta

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Researched by Industrialinfo.com (Industrial Information Resources, Incorporated; Houston, Texas). Access Pipeline Incorporated (Calgary, Alberta), a joint venture of MEG Energy Incorporated (Calgary, Alberta) and Devon Canada Corporation (Calgary, Alberta), the Canadian business unit of Devon Energy Corporation (NYSE:DVN)(Oklahoma City, Oklahoma), is planning to construct a new bitumen pipeline in Alberta, Canada, to provide transportation services to several planned oil sands projects. Access Pipeline has retained the engineering services of Sunstone Projects Limited (Calgary, Alberta) for the proposed duel pipeline system that will originate near MEG Energy’s Christina Lake Regional Project, just south of Fort McMurray, Alberta, and will terminate at the Redwater trim blend facility near Redwater, Alberta. The pipeline will also connect with Devon’s Jackfish oil sands project located near the planned MEG Energy project.

The dual pipeline system will consist of a 303-kilometer 24-inch diameter bitumen pipeline and a 310-kilometer 16-inch diameter diluent return pipeline. A further 49 kilometers of 24-inch diluted pipeline will connect the Redwater trim blend facility to Edmonton and the terminal pipeline markets located there. The system will be designed to transport 400,000 barrels per day (BBL/d).

Access Pipeline will source all of its diluent from the Redwater area and it will be stored at the trim blend facility, which will have approximately 500,000 barrels of storage capacity spread among three tanks. All of the upstream pumping and storage facilities will be located within the battery limits of the Jackfish and Christina Lake facilities. There will be a single stand-alone pump station located eight miles east of Lac La Biche and another pump facility located at the Redwater trim blend facility.

Access Pipeline hopes to finalize the major equipment packages by the end of the third quarter of 2005 and to begin site preparation activities by the end of the year. Access Pipeline expects to complete the pipeline system in mid to late 2006, in time to transport bitumen production from the first phase of Devon’s Jackfish project.

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