TransCanada’s New Oil Port Plans

TransCanada logo

CBJ – After backing away from building an oil-pipeline terminal in Quebec for environmental concerns about beluga whales, TransCanada will now expand its search for sites outside Canada’s second-largest province.

TransCanada CEO Russ Girling says the company could decide that its Energy East pipeline project may involved just one terminal — instead of the two that had been envisioned.

TransCanada halted work on the Cacouna terminal, on the south shore of the St. Lawrence River in Quebec, in December after experts said it would harm endangered beluga whales. Last week the company called off the terminal project, a move that delays the Energy East pipeline.

“We looked at a number of alternatives before we chose Cacouna, so we’ll go back to all of those alternatives now,” Girling said.

A revised plan will not necessarily include two terminals.

“It will be up to both our shippers and stakeholders along the route,” he said. “We have a tremendous amount of flexibility in terms of how we build this pipeline.”

The second export terminal on the 4,600-kilometer line was planned to be built at the pipeline’s terminus in Saint John, New Brunswick.

Girling said building a terminal in New Brunswick still makes sense “in almost any configuration that we’re thinking about”.

If TransCanada does not build an export terminal in Quebec, Energy East could avoid some regulatory barriers, but the project would also create fewer long-term jobs in the province. The government of Quebec has said it will only support Energy East if the pipeline benefits the province economically.

@CanBizJournal

Recommended
ConocoPhillips logoMedia logo