Pembina Pipeline Corporation to proceed with $1 billion expansion of NGL infrastructure
Wednesday, Mar 06, 2013
CALGARY, March 5, 2013 /PRNewswire/ - Pembina Pipeline Corporation ("Pembina" or the "Company") (TSX: PPL; NYSE: PBA) announced plans today to proceed with an expansion of its existing natural gas liquids ("NGL") infrastructure at a combined capital cost of approximately $1 billion.
"These projects mark the next stage of our growth in the NGL business," said Bob Michaleski, Pembina's Chief Executive Officer. "The projects are all extremely complementary and position us well to offer integrated services across the NGL value chain. With our existing ethane-plus infrastructure and marketing capability, we can offer a competitive, cost-effective solution for incremental ethane-plus production from the Western Canadian Sedimentary Basin."
Combined, the Company expects these projects to contribute between $125 and $135 million of long-term, fee-for-service EBITDA per year once fully operational. Pembina also anticipates $10 to $30 million of long-term product margin EBITDA to be generated annually by these expansions. With the addition of these projects, Pembina has increased its 2013 capital spending plan to approximately $1.04 billion from the previously announced budget of $965 million.
Calgary-based Pembina Pipeline Corporation is a leading transportation and midstream service provider that has been serving North America's energy industry for nearly 60 years. Pembina owns and operates: pipelines that transport conventional and synthetic crude oil and natural gas liquids produced in western Canada; oil sands, heavy oil and diluent pipelines; gas gathering and processing facilities; and, an oil and natural gas liquids infrastructure and logistics business. With facilities strategically located in western Canada and in natural gas liquids markets in eastern Canada and the U.S., Pembina also offers a full spectrum of midstream and marketing services that spans across its operations. Pembina's integrated assets and commercial operations enable it to offer services needed by the energy sector along the hydrocarbon value chain.
SOURCE Pembina Pipeline Corporation
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