Keystone Projects Overview

Transcription

1 Keystone Projects Overview

2 TransCanada Assets Wholly Owned Natural Gas Pipeline Partially Owned Natural Gas Pipeline Natural Gas Pipeline Under Construction Natural Gas Pipeline In Development Natural Gas Pipeline Proposed Liquids Pipeline Liquids Pipeline Under Construction Liquids Pipeline In Development Power Facility Gas Storage TransCanada s Wholly Owned Power Natural Gas Pipeline Assets by Fuel Source Partially Owned Natural Gas Pipeline Natural Gas Pipeline Under Construction 21% Natural Gas Pipeline In Development 21% Natural Gas Natural Gas Pipeline Proposed Natural Gas/Oil Liquids Pipeline Nuclear 11,800 14% Liquids Pipeline Under Construction Coal Liquids MW Pipeline In Development Hydro 5% Power Facility Wind 4% 34% Gas Storage 1% Solar 2

3 About TransCanada Who we are: For more than 60 years, TransCanada has been delivering and generating the energy to keep the lights on, heat and cool our homes and power businesses. We are experts in our field, known for our solid track record, for our integrity and high standards of corporate governance and business ethics; we are committed to being a good neighbor. TransCanada s success is a reflection of our exceptional team of more than 6,000 employees across North America who bring skills, experience, energy and knowledge to the work they do every day. TransCanada s people are the heart of our competitive advantage. Our path forward lies in committed and motivated employees who demonstrate our values of integrity, collaboration, responsibility and innovation. We build and operate the energy infrastructure that North America needs. What we do: Pipelines TransCanada is a leading North American energy infrastructure company providing reliable supplies of energy across the continent, safely and responsibly. Millions of North Americans depend on us for the energy they need, every day. TransCanada is meeting the growing demand for energy across North America - and maximizing our pipeline infrastructure - through innovative and strategic pipeline solutions that will transport Canadian crude oil, as well as U.S. domestic crude oil to key U.S. markets in the Midwest and U.S. Gulf Coast. The Keystone Pipeline System is one of North America s largest oil delivery systems: currently delivering 591,000 barrels per day from Canada to the U.S. The first phase of the Keystone Pipeline System has safely delivered more than one billion barrels of oil to U.S. refineries. Energy TransCanada understands energy. That s why we re helping North America transition to a low carbon energy future. We are one of North America s largest private sector power generators with 21 power facilities that generate enough capacity to power 12 million homes. This includes over five billion dollars of investments in low and emission-less energy production. Including: 11,800 MW of power generation (12 million homes) Canada s largest nuclear power facility Wind power in Maine and Quebec 13 hydro power facilities in the U.S. Northeast $500 million solar power operations in Ontario Third largest natural gas storage operator What we believe: Safety is Paramount At TransCanada safety is our number one priority. TransCanada is extremely proud of our industry-leading safety record. Our public safety and pipeline integrity programs are designed to ensure public safety, first and foremost. Our standard is to meet or exceed industry best practices and regulatory requirements. The health and safety of the public, our employees and our contractors is paramount. At TransCanada, we seek to anticipate and minimize hazards of every description in the field and in the office. From design and construction to operation and maintenance, safety is an integral part of everything we do. Being a Good Neighbor TransCanada recognizes that many people and groups may be affected by our business activities, and that we must deliver value to our shareholders in a socially and environmentally responsible manner. We strive to engage stakeholders early and often. This means listening, providing accurate information and responding to stakeholder interests in a prompt and consistent manner. TransCanada uses two-way communication and recognizes that diverse thoughts, opinions and experiences contribute to better decisions and outcomes. Environmental Stewardship At TransCanada, we recognize the importance of environmental stewardship as we strive to meet the energy needs of North Americans. We received a score at the 88th percentile on the 2014 Dow Jones Sustainability Index (DJSI), and earned spots on the DJSI North America and World indices which measure social, environmental and economic performance. We continuously strive to minimize our environmental footprint while meeting the energy demands of the continent in a responsible and sustainable manner. In short, our responsibility toward the natural world is comprehensive and accounts for the potential impacts that our operations might have on the environment. 3

4 About Keystone The Keystone Pipeline System is a 3,861-mile (6,214-kilometer), 30 and 36-inch-diameter crude oil pipeline system, beginning in Hardisty, Alta., and extending south to refining hubs in Illinois, Oklahoma and Nederland, TX. This pipeline system is a critical infrastructure project that enhances energy security in the United States and will strengthen the American economy. The system includes: Oil storage facilities in Hardisty, Alta.; The Keystone Pipeline: a 1,853-mile (2,982-kilometer), 30-inch pipeline that delivers crude from the oil sands in Alberta to refinery hubs in Illinois and Oklahoma; Cushing Extension: an additional 298-mile (480-kilometer) pipeline extension between Steele City, NE. and Cushing, Okla.; The Gulf Coast Pipeline: a 485-mile (780-kilometer), 36-inch pipeline that connects oil storage facilities in Cushing, Okla. with Gulf Coast refineries in Texas; Bakken Marketlink and Cushing Marketlink Projects: which provides access for domestically produced crude oil into the Keystone System; The Keystone XL Pipeline: a proposed 1,179- mile (1,897-kilometer), 36-inch, 830,000 barrel per day pipeline running from Hardisty, Alta. to Steele City, Neb.; Houston Lateral Project: an additional 48-mile (77-kilometer) pipeline designed to transport oil to refineries in Houston, TX. When complete, the Keystone Pipeline System will be capable of transporting 1.4 million barrels of crude oil per day to state-of-the-art refinery hubs in the U.S. Midwest and Gulf Coast. After receiving a Presidential Permit in 2008, the first phase of the Keystone Pipeline System was commissioned in 2010 with an initial capacity of 591,000 barrels per day. That phase supported the creation of over 9,000 U.S. jobs and added millions into State and municipal taxes. Since then, the pipeline has safely delivered more than one billion barrels of crude oil to U.S. refineries. Given the level of commitment expressed by shippers on the pipeline system, TransCanada has taken the opportunity to expand the proposed two million barrels of crude oil batch accumulation tankage and pipeline infrastructure in Hardisty to a 2.6 million barrel terminal. Calgary ALBERTA MONTANA Helena Edmonton WYOMING Hardisty SASKATCHEWAN Baker COLORADO Proposed Keystone XL: Hardisty to Steele City Keystone Pipeline: Hardisty to Steele City, Wood River & Patoka (In-Service Since 2010) Cushing Extension: Steele City to Cushing (In-Service Since 2011) Gulf Coast Pipeline: Cushing to Nederland (In-Service Since 2014) Houston Lateral Project: Liberty to Houston Canadian Crude Oil Reserves American Crude Oil Reserves Keystone Hardisty Terminal Storage Tanks Regina Bismarck SOUTH DAKOTA NEBRASKA NORTH DAKOTA Pierre Steele City KANSAS Oklahoma City OKLAHOMA TEXAS Austin Houston MANITOBA Winnipeg Lincoln Topeka MINNESOTA IOWA Jefferson City Cushing MISSOURI ARKANSAS Nederland LOUISIANA WISCONSIN ONTARIO ILLINOIS Springfield INDIANA Patoka Wood River KENTUCKY TENNESSEE The Keystone Pipeline System offers considerable capacity for U.S. crude oil through its Bakken Marketlink and Cushing Marketlink projects. These projects connect growing U.S. production in the Williston Basin region in Montana and North Dakota and Cushing, Okla. with strategic U.S. refinery hubs. This critical piece of North American energy infrastructure provides Canadian and American oil producers with safe and reliable access to the large refining markets found in the American Midwest and along the U.S. Gulf Coast. The Gulf Coast Pipeline Project is a crude oil pipeline beginning in Cushing, Okla., and extending south to Nederland, TX. to serve the Gulf Coast marketplace. The Gulf Coast Pipeline Project received regulatory approval in 2012 and went into service on January 22, This project employed over 4,800 American laborers and contributed significantly to communities along the route. The Houston Lateral Project is an additional project under construction to transport oil to refineries in the Houston area. This pipeline project will become an integrated component of the Keystone Pipeline System. 4

5 In May 2012, TransCanada filed a new application for a Presidential Permit with the U.S. Department of State, a requirement for building any crossborder pipeline. Keystone XL will have an initial capacity of 700,000 barrels per day with the ability to expand to 830,000 barrels per day. This project has been in regulatory review for over six years. In January 2014, the State Department s environmental review stated that Keystone XL is unlikely to significantly impact the rate of extraction in the oil sands or the continued demand for heavy crude oil at refineries in the United States based on expected oil prices, oil-sands supply costs, transport costs and supply-demand scenarios. TransCanada has signed binding labor agreements with all major labor unions in the United States and will directly employ over 9,000 American laborers over a two-year period. When complete, the Keystone Pipeline System will have the capacity to transport up to 1.4 million barrels of oil per day to Gulf Coast and Midwest refineries, reducing American dependence on oil from Venezuela and the Middle East by up to 40 per cent. Safety: Safety is a top priority at TransCanada. Keystone XL will be the newest and most technologically-advanced pipeline built in the United States to-date. TransCanada has voluntarily agreed to incorporate 59 special safety conditions into the design and construction of Keystone XL, including more rigorous pipe manufacturing quality and handling standards, fully remotecontrolled shutoff valves, increased pipeline testing and inspection requirements during and after construction, and burying the pipe deeper in the ground. TransCanada is an industry leader in pipeline integrity and safety. We invest hundreds of millions of dollars each year to maintain the integrity of our system. Our operators monitor our pipeline system through a centralized high-tech Operational Control Centre (OCC) 24 hours a day, 365 days a year. Information from 20,000 data points along Keystone XL will be sent by satellite every five seconds, providing real-time updates on operating conditions. If a drop in pressure is detected, we can isolate any section of our pipeline within minutes by remotely closing valves on the system. 5

6 During After Near David City, Nebraska Spread 5B construction Photo taken June 15, 2009 Near David City, Nebraska After restoration Photo taken August 25, 2010 Respect for the Land: TransCanada is committed to minimizing its environmental impact during the development of the Keystone Pipeline System. The two photos above show the minimal impact of pipeline construction (left) and the successful reclamation of the same strip of land to its original productive condition. TransCanada employs the most modern construction techniques when building its pipelines and takes precautions around roads and water crossings. For instance: Permanent right-of-way easements will be 50 feet wide, with additional temporary workspace typically totaling 60 feet in width. TransCanada is responsible for the repair of drain tiles, irrigation, or other buried utilities, if damaged during pipeline construction. TransCanada will minimize road impact during construction and will be responsible for repairing any road damage caused by construction. 6 Normal farming equipment may cross the right-of-way without restrictions. To protect river crossings, creeks and wetlands, TransCanada will use state-of-the-art horizontal directional drilling (HDD) techniques to bury the pipeline well below river beds. Before crossing the right-of-way with unusually heavy equipment, or excavating (which includes deep ripping or deep tilling) near the right-of-way, it is necessary to contact TransCanada and your State s one-call number to help ensure the safety of landowners, work crews and the pipeline itself.

7 Environment: TransCanada is committed to reducing the environmental footprint of the Keystone Pipeline System and protecting sensitive land and animal habitats along the way. For instance, TransCanada is protecting watersheds and wetlands by installing erosion and sediment control devices to prevent soil from entering wetlands and water bodies. TransCanada will return all wetlands to their original contours and elevations, remove excess subsoil to upland areas and will not leave a crown over the trench in wetlands. In accordance with State and Federal laws TransCanada will protect sensitive species and habitats. To do this some areas will have time periods when construction is not allowed. It is mandatory that these temporary exclusion areas are not disturbed for any reason. Designated locations will be signed and wildlife fencing will be erected to minimize potential for encountering protected species. TransCanada is also committed to preserving culturally sensitive and archeologically significant areas. TransCanada avoided known historic and cultural resources as much as possible while routing the pipeline. However, construction may uncover buried remains of prehistoric or historic cultures such as bones, pottery, stone tools, foundations, fire pits, or other artifacts. These materials may have historic, religious, or cultural significance and are protected by Federal law. TransCanada will retain the services of local Cultural and Paleontological Resource Monitors who have the authority to redirect or stop work in an area if a cultural or historical site or paleontological resources are found. 7

8 We invite you to contact us with any questions regarding Keystone Projects: Toll-free number: Or write to us at: U.S. Office 700 Louisiana St., Suite 700 Houston, Texas Canada Office 450-1st Street S.W. Calgary, Alberta T2P 5H1 August Keystone Projects Brochure - US