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CALGARY, AB – Tidewater Midstream and Infrastructure Ltd. (TMI) has made the announcement that they have completed commissioning and start-up of the Pipestone Montney, sour deep-cut gas processing complex.

Sunday, September 15th, 2019, according to TMI the Pipestone Gas Plant began processing sour gas at a rate of approximately 30 MMcf/day of sour gas during this start-up phase and expects processing to ramp up to near full capacity of 100MMcf/day by the end of the year.

Connected to the Alliance and TC Energy pipeline network, the Pipestone Gas Plant is designed to process approximately 100 MMcf/day of sour gas. The facility includes an acid gas injection well, saltwater disposal well, and pipelines that directly connect to Tidewater’s Pipestone Gas Storage Facility.

Approval to construct and operate the Pipestone Gas Plant was in October 2018 by the Alberta Energy Regulator, with construction starting quickly after the approval.

According to TMI, the Pipestone Gas Plant was constructed on time and on budget with Tidewater’s divestment of the plant’s 32MW cogeneration units for cash proceeds of $85 million during the first quarter of 2019.

Capacity at the Pipestone Gas Plant is fully contracted with customers including two investment-grade counterparties having executed processing agreements.

Toby McKenna, Vice President of Business Development commented that this plant represents a significant milestone for Tidewater. “With the start-up of this strategic asset, Tidewater is well-positioned in the Grande Prairie area to offer Montney producers natural gas and liquids processing, egress and storage opportunities.” Mr. McKenna added that “we at Tidewater are grateful to all of our employees, contractors and service providers who diligently worked to build this plant in a safe and environmentally responsible manner. We also wish to thank all of our customers for their continued support and confidence in Tidewater.”

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