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TransCanada to move forward with C$140M NGTL export capacity expansion

TransCanada Corp. will push through with a C$140 million plan to further expand its NOVA Gas Transmission Ltd., or NGTL, pipeline system after receiving sufficient shipper commitments during an open season.

Shippers struck binding agreements for 280 MMcf/d of firm export delivery service at NGTL's Empress/McNeill export delivery point beginning November 2021, according to a June 18 news release. The contracts have an average term of 22 years. NGTL also executed intra-basin firm delivery service contracts with shippers for 75 MMcf/d.

The open season results reflected "significant continued interest" in access to high-value downstream markets from producers in the Western Canadian Sedimentary Basin, according to Tracy Robinson, TransCanada's senior vice president and general manager for Canadian Gas Pipelines.

The project is part of NGTL's C$7.3 billion multi-year infrastructure expansion program catering to Western Canada producers.