Kinder Morgan Energy Partners has reduced the size of a planned expansion of its pipeline to the Pacific Coast after fewer shippers than expected signed 20-year con-tracts that would allow surging oil supplies to be shipped to Asia, the company said on Wednesday.
Kinder Morgan now plans a $4.1-billion expansion of its Trans Mountain pipeline to the Vancouver area from Alberta, increasing capacity to 750,000 barrels a day from 300,000. That is down from last month’s estimate of 850,000.
It had expected enough con-tracts to support a $5-billion project with crude production from the Alberta oilsands forecast to more than double over the next decade. But a few potential shippers it thought would sign onto the lengthy obligations had failed to obtain their boards’ approvals by the deadline, prompting the reduction, Kinder Morgan said…
To read more please see the rest of the article here.