Gibson Energy Inc. Announces Commencement of Storage Expansion and Potential Crude to Rail Opportunity at Hardisty Terminal
CALGARY, Sept. 17, 2012 /PRNewswire/ - Gibson Energy Inc. ("Gibson" or the "Company"), TSX: GEI, announced today two expansion opportunities at its Hardisty Terminal near Hardisty, Alberta.
Subsequent to the previously announced open season process, the Company has received sufficient, long-term, committed customer support to begin construction of two 400,000 bbl oil storage tanks for an aggregate addition of 800,000 bbls of storage. Located immediately adjacent on the East boundary of the existing Gibson's Hardisty Terminal, the two tanks will form the initial anchor for an expansion of the facility. The new tanks will be well connected to third party receipt pipelines and facilities and will have connectivity to all current export pipelines from Hardisty. They will also benefit from the synergies and operational flexibility provided by Gibson's existing Hardisty Terminal complex. Site preparation for the two 400,000 bbl tanks is scheduled to start in the fourth quarter of 2012. Commissioning is expected to occur in early 2014.
"This initial development on our eastern lands at Hardisty Terminal starts to take advantage of the Company's strategic 184 acre undeveloped land position in the area," said Rick Wise, Gibson's Senior Vice-President Operations. "We expect continued growth at our Hardisty Terminal as oil sands and conventional oil production continue to develop at an accelerated pace."
Gibson also announced today that it has signed a Letter of Intent with a major unit train developer to explore unit train shipments from the Hardisty area. The proposed facility would use Canadian Pacific's North Main Line for transporting crude by rail to markets across North America.
Gibson is one of the largest independent midstream energy companies in Canada and a major participant in the crude oil transportation business in the United States, and is engaged in the movement, storage, blending, processing, marketing and distribution of crude oil, condensate, natural gas liquids, and refined products. Gibson transports hydrocarbons by utilizing its integrated network of terminals, pipelines, storage tanks, and truck fleet located throughout western Canada and the United States. Gibson is also involved in the processing, blending and marketing of hydrocarbons, provision of water disposal and oilfield waste management services and is the second largest retail propane distribution company in Canada.
Certain statements contained in this news release constitute forward-looking information and statements (collectively, "forward-looking statements") including, but not limited to, the development of the unit train facility and management's expectations with respect to the potential synergies and opportunities that the two tanks may receive from the existing Hardisty Terminal complex. These statements relate to future events or the Company's future performance. All statements other than statements of historical fact are forward-looking statements. The use of any of the words ''anticipate'', ''plan'', ''contemplate'', ''continue'', ''estimate'', ''expect'', ''intend'', ''propose'', ''might'', ''may'', ''will'', ''shall'', ''project'', ''should'', ''could'', ''would'', ''believe'', ''predict'', ''forecast'', ''pursue'', ''potential'' and ''capable'' and similar expressions are intended to identify forward-looking statements. These statements involve known and unknown risks, uncertainties and other factors that may cause actual results or events to differ materially from those anticipated in such forward-looking statements. No assurance can be given that these expectations will prove to be correct and such forward-looking statements included in this news release should not be unduly relied upon. These statements speak only as of the date of this news release. In addition, this news release may contain forward-looking statements and forward-looking information attributed to third party industry sources. The Company does not undertake any obligations to publicly update or revise any forward looking statements except as required by securities law. Actual results could differ materially from those anticipated in these forward-looking statements as a result of numerous risks and uncertainties including, but not limited to, the unit train facility not being developed at all, failure to obtain the necessary regulatory and third party approvals required in order to develop the unit train facility and the related infrastructure and the risks and uncertainties described in "Forward-Looking Statements" and "Risk Factors" included in the Company's Annual Information Form dated March 6, 2012 as filed on SEDAR and available on the Gibson website at www.gibsons.com.
SOURCE Gibson Energy Inc.