Spectra announces plans for new Liquids Extraction project

The proposed project would consist of the Dawson Liquids Extraction Facility, as well as the residue gas pipeline, which would extract liquids from the rich inlet gas from either the adjacent Dawson Processing Plant and/or from a new rich gas pipeline originating north of the facility from a third party field production.

The project would be owned and operated by provincially regulated Spectra Energy Midstream, which has already begun discussions with the B.C. Environmental Assessment Office. An Environmental and Socio-economic Assessment was completed back in 2010, and an overall Project Description will be presented in November, 2012.

Spectra is also submitting an application for non-farm use through the B.C. Agricultural Land Commission, as well as an application to the B.C. Oil and Gas Commission.

When examining the facility itself, it would be situated on private land immediately adjacent to an existing industrial site. The facility would process strictly sweet gas and will not involve the removal of H2S. There would be no incinerating or venting and it would use technologies common within the industry.

In addition, the facility will have a design capacity of 400 MMscf/d, with the idea being to install two 200 MMscf/d identical trains. It would process sweet natural gas in order to remove water and natural gas liquids from two sources: unprocessed raw sweet gas from the Montney formation, as well as sales gas from the outlet of the adjacent Dawson Plant.

According to Standish, consultations are already underway with local residents, Aboriginal communities and other potentially affected stakeholders to discuss potential project impacts and proposed mitigation measures.

Spectra says it is important to understand local concerns and interests with regards to a project of this magnitude, and plans to release an open house schedule on November 15, 2012.

Standish adds the company is hoping the facility will be operational by the Q4 2015.

Spectra plans on making a second presentation to the Peace River Regional District Council November 22, which will be made by Gary Weilinger, Vice President of Strategy Development and External Affairs.