Rangeland Midstream Canada plans to design, construct and operate new crude oil and condensate pipelines in the Marten Hills region of north central Alberta.
The Marten Hills Pipeline System will extend 53 miles (85 km) and consist of crude oil and condensate pipelines and related facilities. The system is expected to come into service in the second quarter of 2020.
The system will gather crude oil production from the Clearwater formation, described by the company as “emerging as an extremely economic play with low extraction costs using modern multilateral horizontal drilling.” The system will deliver blended crude oil to an existing third-party takeaway pipeline to serve the Edmonton, Alberta, hub and refining market.
Condensate will be received from a third-party pipeline and delivered to production batteries for diluent blending.
The project already has long-term transportation agreements in place with three of the region’s largest producers, which accounts for 40% of the system’s capacity. The agreements include acreage dedications of about 450,000 acres.