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Encana's 2nd Montney gas processing facility placed into service

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Encana's 2nd Montney gas processing facility placed into service

Encana Corp. on Sept. 27 began operations at its Sunrise processing plant, the second to go into service out of three Encana-built facilities designed to serve Montney Shale production.

The plant's startup was ahead of schedule and under budget, Encana said in an Oct. 5 news release. Sunrise joins the Tower processing plant, the first facility placed into service. The final plant, Saturn, is on track to begin operations before the year ends, according to the statement. The Towerbirch lateral pipeline that would connect all three facilities to the NGTL system started up on Oct. 1.

"The new processing and midstream infrastructure now in place firmly supports our growth plan in the Montney, which is a key driver to expanding our corporate margin and delivering quality returns," said Doug Suttles, president and CEO of Encana.

The three processing plants are part of an agreement with Veresen Inc.'s Veresen Midstream LP through a joint venture, Cutbank Ridge Partnership, under which Encana is in charge of building and operating the facilities on a contracted basis, with use of the facilities paid for under a fee-for-service agreement. Veresen Midstream owns the facilities and provides funding.