TransCanada files application to expand Alberta System facilities
CALGARY, Alberta – November 21, 2007 – TransCanada Corporation’s (TSX, NYSE: TRP) (TransCanada’s) wholly owned subsidiary, NOVA Gas Transmission Ltd. (NGTL), today filed an application with the Alberta Energy and Utilities Board for a permit to construct a 300-kilometre, 42-inch natural gas pipeline and install 26 megawatts of additional compression and associated facilities on the northern section of the Alberta System. The estimated capital cost of this expansion is $983 million.
The North Central Corridor pipeline project is an expansion of the integrated Alberta System. It will provide capacity needed to address increasing gas supply in northwest Alberta, declining gas supply in northeast Alberta, growing intra-Alberta markets resulting largely from increased oil sands development and reduced delivery capability to interconnecting pipelines at the Alberta-Saskatchewan border. This expansion will allow NGTL to meet increased customer requirements for the 2009/2010 Gas Year and beyond.
“The North Central Corridor is the most cost-effective facility to accommodate evolving gas supply and market dynamics both within and outside Alberta,” says Hal Kvisle, TransCanada president and chief executive officer. “We continue to work with our customers to find innovative solutions to meet their changing market needs.”
The pipeline will connect the northwest portion of the Alberta System at the existing Meikle River compressor station to the northeast portion of the system at the existing Woodenhouse compressor station. In addition, 26 MW of compression will be added at the existing Meikle River compressor station. Subject to regulatory approval, construction is anticipated to begin in late 2008. The first segment of the pipeline is expected to be completed in April 2009. The second segment is anticipated to be completed and in service in April 2010.
To the extent possible, the pipeline will be constructed along existing infrastructure corridors to minimize environmental impacts. TransCanada consulted extensively with landowners, First Nations communities and other interested stakeholders located in the area regarding the pipeline route and has received no objections from these groups. TransCanada also conducted extensive consultation with customers. We are committed to continuing to build and maintain strong relationships with all stakeholders who have interests in the project.
For additional information and a map, please refer to the North Central Corridor Pipeline Project fact sheet.
With more than 50 years experience, TransCanada is a leader in the responsible development and reliable operation of North American energy infrastructure including natural gas pipelines, power generation, gas storage facilities, and projects related to oil pipelines and LNG facilities. TransCanada’s network of wholly owned pipelines extends more than 59,000 kilometres (36,500 miles), tapping into virtually all major gas supply basins in North America. TransCanada is one of the continent’s largest providers of gas storage and related services with approximately 360 billion cubic feet of storage capacity. A growing independent power producer, TransCanada owns, or has interests in, approximately 7,700 megawatts of power generation in Canada and the United States. TransCanada’s common shares trade on the Toronto and New York stock exchanges under the symbol TRP.
(Note: All financial figures are in Canadian dollars unless noted otherwise.)
This news release may contain certain information that is forward-looking and is subject to important risks and uncertainties. The words "anticipate", "expect", "may", "should", "estimate", "project", "outlook", "forecast" or other similar words are used to identify such forward looking information. All forward-looking statements are based on TransCanada’s beliefs and assumptions based on information available at the time such statements were made. The results or events predicted in this information may differ from actual results or events. Factors which could cause actual results or events to differ materially from current expectations include, among other things, the ability of TransCanada to successfully implement its strategic initiatives and whether such strategic initiatives will yield the expected benefits, the availability and price of energy commodities, regulatory decisions, changes in environmental and other laws and regulations, competitive factors in the pipeline and energy industry sectors, construction and completion of capital projects, access to capital markets, interest and currency exchange rates, technological developments and the current economic conditions in North America. By its nature, such forward‑looking information is subject to various risks and uncertainties which could cause TransCanada's actual results and experience to differ materially from the anticipated results or other expectations expressed. For additional information on these and other factors, see the reports filed by TransCanada with Canadian securities regulators and with the U.S. Securities and Exchange Commission. Readers are cautioned not to place undue reliance on this forward‑looking information, which is given as of the date it is expressed in this news release or otherwise, and TransCanada undertakes no obligation to update publicly or revise any forward‑looking information, whether as a result of new information, future events or otherwise, except as required by law.
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