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Canada’s Connacher Oil and Gas announces pipeline project

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Connacher Oil and Gas expects to have a 18,000 bpd oil pipeline from its Great Divide oil sands leases near Fort McMurray, Alberta, completed by the second half of 2022.

Following a thorough assessment of the alternatives and commercial negotiation of transportation arrangements with third party carriers, the company filed an application with the Alberta Energy Regulator for a 26.5 kilometer (16.5 mile), 10-inch diameter pipeline that will have an initial capacity of 18,000 barrels per day (bpd).

Connacher received AER approval in December 2020 to build this sales oil pipeline lateral from its Great Divide project.

The pipeline is expected to be completed by the second half of 2022 and will provide Connacher with access to a liquid market hub for the sale of its product.

While the in-service date is dependent on the company’s financing efforts, this new pipeline will reduce Connacher’s transportation costs and increase market access. In addition to enhanced access for blended bitumen, Connacher is also pursuing alternatives to improve access and reduce cost of diluent.

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