CALGARY, Sept. 28, 2011 /PRNewswire/ - Alliance Pipeline L.P. (Alliance) today announced an open season to identify further shipper demand for natural gas transportation service originating on its proposed 77-mile Tioga Lateral Project pipeline for delivery to the Chicago market hub. Alliance plans to construct the pipeline and associated facilities in North Dakota to transport liquids-rich natural gas from Tioga, ND to the Alliance mainline near Sherwood, ND, for onward shipment to Chicago. A precedent agreement has been executed with Hess Corporation as an anchor shipper on the Tioga Lateral. Matching capacity on the Alliance mainline is included in the open season service offering.
The open season for firm capacity on the Tioga Lateral and Alliance's mainline will commence September 28, 2011 at 9:00 a.m. Central Daylight Time and conclude at 4:00 p.m. Central Daylight Time October 27, 2011. Alliance will also consider service requests requiring new Tioga Lateral receipt points as well as extension of the Tioga Lateral pipeline. Open season details are available at www.alliancepipeline.com in the "Proposed Tioga Lateral Pipeline" section.
The pipeline's proposed design capacity is approximately 120,000 Mcf/day, which can be expanded based on shipper demand. The pipeline's planned in-service date is July 2013, subject to timely receipt of regulatory and other required approvals.
"The need only continues to grow for pipeline infrastructure in the Bakken to transport producers' liquids-rich gas to markets", said Murray Birch, Alliance President and Chief Executive Officer. "Our Tioga Lateral will enable North Dakota producers to realize revenues from gas that might otherwise be flared and will also stimulate development of more receipt points and extensions. Alliance shippers also benefit from a pipeline system that is among the most cost-effective and reliable in the industry".
About the Alliance Pipeline system:
The Alliance Pipeline system consists of an approximately 2,311-mile integrated Canadian and U.S. high-pressure natural gas transmission pipeline system, delivering rich natural gas from the Western Canadian Sedimentary Basin and the Williston Basin to the Chicago market hub. The United States portion of the system is owned and operated by Alliance Pipeline L.P. and consists of approximately 900 miles of mainline and related infrastructure. The system has been in commercial service since December 2000 and delivers, on average, about 1.6 billion standard cubic feet (or 45.3 million standard cubic metres) of natural gas per day. More information about the company is available at www.alliancepipeline.com.
Alliance Pipeline Limited Partnership ("Alliance Canada") owns the Canadian portion of the Alliance Pipeline system. Alliance Canada is owned 50 percent each by affiliates of Enbridge Income Fund (TSX:ENF.UN) and Veresen Inc. (TSX:VSN).
Alliance Pipeline L.P. ("Alliance U.S.A.") owns the U.S. portion of the Alliance Pipeline system. Alliance U.S.A. is owned 50 percent each by affiliates of Enbridge Inc. (TSX:ENB) (NYSE:ENB) and Veresen Inc. (TSX:VSN).
The Tioga Lateral Project is currently using the Federal Energy Regulatory Commission pre-filing process for preparation of an Environmental Assessment under Docket # PF11-7-000.
SOURCE Alliance Pipeline Limited Partnership