Canada Gas Producers Ask for Pipeline Maintenance Transparency and Compensation

Canadian natural gas producers are asking Alberta's government to give drillers a break on their royalty payments in return for cutting back output during periods of heavy pipeline maintenance.

This interesting article is about the energy sector in Canada. Alfa Laval heat transfer and separation products are used to reduce energy costs and environmental impact of Canadian oil and gas operations.  

 

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:…The reduction would give producers an incentive to dial back their output when capacity on TC Energy Corp.’s Nova Gas Transmission Ltd. pipeline system, which moves gas around and out of Alberta, is reduced due to regular maintenance or work on its expansion, according to executives involved in the talks. Without such an incentive, drillers often continue to push gas into the system despite the reduced capacity, resulting in volatile and low prices, they said. 

 

TC will improve the transparency around its maintenance and outage schedule. The company is working with producers and for its investments to add more shipping capacity. TC, formerly known as TransCanada, is working on an C$8.6 billion ($6.6 billion) expansion of the NGTL system. The program would add 3 billion cubic feet per day of delivery capacity by the end of 2022, representing a 22% increase to its current volume of about 13.5 billion…

Read the full article on rigzone.com