Energy East Pipeline. Project Overview. Kevin Maloney Manager, New Build Pipeline AB, NB, JV Irving and Cromer September, 2014

Transcription

1 Energy East Pipeline Project Overview Kevin Maloney Manager, New Build Pipeline AB, NB, JV Irving and Cromer September, 2014

2 TransCanada: Leading North American Energy Infrastructure Company ENERGY EAST PIPELINE One of North America s Largest Natural Gas Pipeline Networks 68,500 km of pipeline 14 Bcf/d or 20% of demand Third Largest Natural Gas Storage Operator 406 Bcf of capacity Largest Private Sector Power Generator in Canada 21 power plants, 11,800 MW Wind, solar and hydro 1,167 MW Premier Oil Pipeline System 1.4 million bbl/d ultimate capacity 33% of Canadian exports

3 Project Description Batch crude oil pipeline Sources: Western Canada all types of crude oil Markets: Eastern Canada, U.S. East Coast, U.S. Gulf Coast, and global markets (e.g. Europe, India) Pipeline project to bring oil from the West to Eastern Canadian and export markets 70% of the pipeline is already in the ground (conversion from gas service); environmental and cost benefits Target 2018 in-service to Quebec and late 2018 to New Brunswick Capacity 1.1 million bpd Eastern Canada currently imports approximately 700,000 bpd Capital cost approximately $12 billion

4 Project Benefits Domestic source of crude oil for eastern refineries Displace higher cost foreign imports Expansion and upgrade opportunities Increased crude oil capacity from Western Canada Access to new Eastern Canadian and export markets Reduced price discount Re-purposing of under-utilized natural gas pipeline Avoid constructing new pipeline Significantly reduced environmental impact

5 Energy East Pipeline $12 billion investment, excluding transfer value of Mainline natural gas assets 1.1 million bbl/d of capacity with ~900,000 bbl/d of firm, long-term contracts Anticipated to commence deliveries to Québec in 2018, with service to New Brunswick expected in late 2018

6 The Facilities Big Picture Alberta PS 5 Saskatchewan PS 12 Manitoba PS 8 Quebec PS 11 Hardisty Terminal Ontario PS 30 Moosomin Terminal GT Power Facility 8 Cacouna MT NB PS 5 Montreal Lateral (Suncor) Cacouna TT Canaport MT Levis Lateral (Valero) Saint John TT 71 Pump Stations 2 Marine Terminals 8 GT Power Facilities 4 Tank Terminals 2 Delivery Points Power Infrastructure

7 Energy East in New Brunswick 412 km New Pipeline 5 Pump Stations 1 Tank Terminal 1 Marine Terminal

8 Pump Stations Scope Overview Preliminary Layout ENERGY EAST PIPELINE 71 Pump Stations 290+ Pumps and Motors 73 VFDs one VFD per site All 6500 HP pumps 144 shelters 58 substations 36 launchers and receivers Approximately 80 km of NPS 36 pipe and fittings 37,000 piles 1000 NPS valves 10,000 Tonnes structural steel 2.3M hectares civil work 2,200 km cables 131 km total for access roads

9 Pump Stations - Example Keystone XL Design ENERGY EAST PIPELINE

10 Pump Stations New Brunswick 5 pump stations acre sites 70 MW power requirement Transmission infrastructure requirements

11 Storage Tank Overview ENERGY EAST PIPELINE Terminal Capacity (BBL) Qty Diameter (m) Height (m) DISTRIBUTION PIPING FIREWATER POND MARINE TERMINAL SUPPLY LINE TANK LOTS 500,000 PROCESS AREA Estimated Peak Craft Field Labor Hardisty 350, Moosomin 350, Cacouna Saint John 350, , , Maximum Shell Thickness of 38mm (1.5 ) External Steel Pontoon Floating Roof design Provisions for future Aluminum Dome Roofs Tanks floors and bottom 1m of shell are internally coated. All tanks are externally coated. + 2 Million Hours of Field Labor + 45,000 Tonnes of Steel

12 Tank Terminal Saint John, NB ENERGY EAST PIPELINE DISTRIBUTION PIPING PROCESS AREA TANK LOTS FIREWATER POND MARINE TERMINAL SUPPLY LINE Saint John Tank Terminal located near Saint John, NB on 400 Acres Installation of 18 tanks: o 9 x 350,000 bbl tanks o 9 x 500,000 bbl tanks Total storage capacity of 7,650,000 bbls Proposed location of tank terminal in land leased from Irving Oil Proposed Canaport Energy East Marine Terminal located approximately 1 km from Saint John Tank Terminal Terminal will include the following major facilities: o Oil storage tanks o Marine Loading/Booster pumps and metering to transfer oil from tanks to the marine terminal and Irving Canaport Terminal o Interconnect manifolds and aboveground distribution piping o Fire protection system o Containment and leak detection systems

13 Marine Terminal Canaport Saint John, NB ENERGY EAST PIPELINE The Canaport Marine Terminal will be located on the western shore of the Bay of Fundy, to the southeast of the port of Saint John Located to the west of the existing Irving Oil Single Point Mooring (SPM) and Canaport LNG facility Main elements of the Canaport EE Marine Terminal: : o fender and mooring structures o delivery / receipt pipeline systems o o loading and unloading arms vapour recovery and fire suppression systems The Canaport Marine Terminal will receive Suezmax and VLCC tankers

14 Marine Terminal Canaport Saint John, NB - Offshore LOADING ARMS BERTH OPERATOR SHELTER LOADING PLATFORM GANGWAY TOWER BREASTING DOLPHIN MOORING DOLPHIN

15 Marine Terminal Canaport Saint John, NB - Trestle ENERGY EAST PIPELINE BERTHS PIPE LOOP & VEHICLE PASSING BAY PLATFORM JACKETS & PILES TRESTLE ROADWAY AND PIPE RACK AUXILIARY PLATFORMS

16 Deloitte Economic Assessment Impact on Canadian GDP $35.3 billion Impact On New Brunswick GDP $2.8 billion Direct Jobs Development: 2,342 Construction: 7,729 Operations: 1,087 Direct Jobs Development: 332 Construction: 1,095 Operations: 121 $10 billion in tax revenues $694 million in tax revenues 16

17 Construction Jobs in New Brunswick 4 pipeline spreads Approx. 400 to 600 workers for each spread 5 pump stations requiring Approx. 40 to 80 workers for each pump station 1 tank terminal consisting of 18 tanks Approx. 400 to 600 workers to construct terminal 1 marine terminal Approx. 150 to 180 workers to construct terminal 3 camp facilities Approx. 200 personnel to assemble, manage, and operate each camp

18 Provincial Craft Totals Marine Terminal Pump Stations New Pipelines 1, ,560 Tank Terminal TOTAL , ,860

19 List of Local Services (not limited) Fabrication Work Structural Piping Spools Land Survey Environmental Geo-tech Brushing/ Snow Removal Rig Mats Supply Construction Equipment Rental Concrete and Aggregate Supplies Engineering ( as sub-contract for local component) Mechanical, Electrical, Civil work (as sub-contractor) Sand Padding Emergency material requirements Construction Consumables/ Office Supplies Fencing/Temporary Lighting Short Term Office Support Field/Construction Labor Fuel Supply Hotel Accommodations Camp Potable Water/Sewage Removal Testing of Concrete, Soil, etc. Trailer Rental Security Services

20 Project Schedule

21 Energy East Vendor Portal How to access Vendor Portal for Registration: Energy East Pipeline Website ( In About tab, scroll down and click Contractors and Vendors

22 Safety Pipelines are the safest way to transport oil Use of advanced pipeline technology Additional safety features at road, rail and water crossings Heavy-wall pipe, deeper pipe burial, installation of additional isolation valves Pipeline will be monitored through a high-tech control centre 24 hours a day, 365 days a year

23 Environmental Protection The project will adhere to the strictest environmental guidelines Our Environmental Protection Plan will mitigate potential impacts during and after construction Committed to preserving important natural and cultural features Collaboration with local communities and Aboriginal groups for data collection

24 Emergency Response Planning TransCanada will develop an Emergency Response Plan (ERP) in accordance with federal regulations (NEB OPR) To be completed and submitted before in-service Developed in consultations with local emergency service agencies (i.e. fire departments, emergency managers, etc.) Specialized oil spill equipment will be procured and stored strategically along pipeline system Trained responders are on-call 24/7 and include TransCanada personnel and contractors TransCanada takes full responsibility for emergency response and cleanup Consultations with local emergency services agencies are underway

25 First Nations Engagement in New Brunswick Actively engaging with First Nation communities across New Brunswick Working to understand protocols and expectations for a respectful engagement process Sharing project information to determine interests, issues or concerns Signed agreements with Assembly of First Nation Chiefs in New Brunswick (AFNCNB) and individual communities which provides initial funding to support exploratory discussions to frame an engagement process Agreements do not indicate support for the project

26 Stakeholder Engagement in New Brunswick New Brunswick Meetings with landowners, elected officials, municipalities, and other stakeholders Information sessions and open houses for local stakeholders and residents Ongoing through the project life cycle Social responsibility is a TransCanada core value Over 30 municipalities Over 400 Landowners Over 1800 individuals during 11 Open Houses conducted Over 150 stakeholders during 9 Information Sessions Over 2000 stakeholders during event presentations Over 60 meetings (NGOs and ENGOs) Over 60 emergency responders attending 3 information sessions

27 Summary Highlights Project proponent is TransCanada More than 70,000 km of oil and gas pipelines Pipeline project to ship oil from Western to Eastern Canada Refineries and to export markets Approximately 70 per cent of the pipeline is already in the ground (conversion from gas service) reduced land disturbance and cost benefits Target in service dates for deliveries to Québec City and Saint John are 2018 and late 2018, respectively Significant economic benefits and jobs across Canada during construction and when operational Committed to effective stakeholder engagement, environmental stewardship and public safety

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