CALGARY, Sept. 25, 2014 /PRNewswire/ - Pembina Pipeline
Corporation ("Pembina" or "the Company") (TSX: PPL; NYSE: PBA)
provided an update on projects in several of the Company's business
units.
Gas Services
Pembina is pleased to announce that it has commenced
commissioning and extracted its first natural gas liquids ("NGL")
barrels through its recently constructed 200 million cubic feet per
day ("mmcf/d") (134 mmcf/d net) Resthaven gas processing facility
("Resthaven"). Commissioning will continue over the next two to
three weeks at which point Resthaven will deliver NGLs into
Pembina's Peace Pipeline.
Pembina continues to make excellent progress on the construction
of Musreau II, a 100 mmcf/d shallow cut gas plant and now expects
Musreau II to be in service in December
2014, ahead of its previously anticipated in service date of
first quarter 2015.
"We are excited with the progress we have made on these two
projects and believe they demonstrate Pembina's ability to execute
on its capital program," said Stu
Taylor, Senior Vice President NGL & Natural Gas
Facilities. "When Musreau II comes onstream Pembina will reach an
important milestone of having 1.0 bcf/d of field gas processing,
making Pembina one of the largest gas processing companies in the
Western Canadian Sedimentary Basin."
Conventional Pipeline
In connection with the Company's Phase III pipeline expansion,
Pembina was also successful in its recontracting efforts to secure
the majority of existing crude and condensate volumes under
long-term, firm service contracts. Since our last press release
dated September 10, 2014 Pembina has
contracted an additional 18,000 bpd as part of its Phase III
pipeline expansion and now has 307,000 bpd under contract. In
aggregate Pembina has now contracted approximately 650,000 bpd of
crude oil, condensate and NGLs through its recontracting efforts,
and its Phase I, II and III conventional pipeline expansions.
Oil Sands and Heavy Oil
Pembina was informed by Statoil that Statoil's Cornerstone oil
sands project has been deferred. The engineering support agreement
between Pembina and Statoil for the related Cornerstone oil sands
pipeline expires at the end of September and no additional capital
will be spent on the pipeline project. Pembina will retain the
right to use the engineering for other commercial discussions.
"While we are disappointed about the Cornerstone pipeline not
proceeding at this time we have approximately $6.0 billion of committed projects underway and
another $1.7 billion of projects we
are looking to commercially secure," said Mick Dilger, President and Chief Executive
Officer. "We believe this suite of projects will continue to drive
shareholder value in the years to come."
About Pembina
Calgary-based Pembina Pipeline
Corporation is a leading transportation and midstream service
provider that has been serving North
America's energy industry for 60 years. Pembina owns and
operates pipelines that transport various hydrocarbon liquids
including conventional and synthetic crude oil, heavy oil and oil
sands products, condensate (diluent) and natural gas liquids
produced in western Canada. The
Company also owns and operates 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.
Forward-Looking Statements & Information
This document contains certain forward-looking statements and
information (collectively, "forward-looking statements") within the
meaning of the "safe harbor" provisions of applicable securities
legislation that are based on Pembina's current expectations,
estimates, projections and assumptions in light of its experience
and its perception of historical trends. In some cases,
forward-looking statements can be identified by terminology such as
"continues", "expects", "will", "would", "plans" and similar
expressions suggesting future events or future performance.
In particular, this document contains forward-looking
statements, pertaining to, without limitation, the following:
Pembina's corporate strategy; planning, construction, schedules,
expected capacity, incremental volumes, in-service dates, and
operations with respect to Company projects. These forward-looking
statements and information are being made by Pembina based on
certain assumptions that Pembina has made in respect thereof as at
the date of this document including those discussed below.
With respect to forward-looking statements contained in this
document, Pembina has made assumptions regarding, among other
things: that counterparties will comply with contracts in a timely
manner; that there are no unforeseen events preventing the
performance of contracts or the completion of Company projects;
that Pembina will obtain required regulatory approvals on a timely
basis; ongoing utilization and future expansion, development,
growth and performance of Pembina's business and asset base; future
demand for transportation services; future levels of oil and
natural gas development in proximity to Pembina's pipelines and
other assets (which could be affected by, among other things,
possible changes to applicable royalty and tax regimes); and future
financing capability and sources.
Although Pembina believes the expectations and material
factors and assumptions reflected in these forward-looking
statements are reasonable as of the date hereof, there can be no
assurance that these expectations, factors and assumptions will
prove to be correct. Readers are cautioned that events or
circumstances could cause results to differ materially from those
predicted, forecasted or projected. By their nature,
forward-looking statements involve numerous assumptions, known and
unknown risks and uncertainties that contribute to the possibility
that the predictions, forecasts, projections and other
forward-looking statements will not occur, which may cause actual
performance and financial results in future periods to differ
materially from any projections of future performance or results
expressed or implied by such forward-looking statements and
information.
The actual results of Pembina could differ materially from
those anticipated in these forward-looking statements as a result
of material risk factors including, but not limited to: the
regulatory environment and decisions, and the inability to obtain
required regulatory approvals; the impact of competitive entities
and pricing; reliance on key relationships and agreements; the
strength and operations of the oil and natural gas production
industry and related commodity prices; the continuation or
completion of third- party projects; non-performance or default by
counterparties to agreements which Pembina or one or more of its
affiliates has entered into in respect of its business; actions by
governmental or regulatory authorities including increased
environmental regulation; unexpected increases in capital costs;
adverse general economic and market conditions in Canada, North
America and elsewhere; lower than anticipated results of
operations and accretion from Pembina's business initiatives; and
the ability of Pembina to raise sufficient capital (or to raise
capital on favourable terms) to complete future projects and
satisfy future commitments.
These factors should not be construed as exhaustive. Unless
required by law, Pembina does not undertake any obligation to
publicly update or revise any forward-looking statements, whether
as a result of new information, future events or otherwise. Any
forward-looking statements contained herein are expressly qualified
by this cautionary statement.
Pembina Pipeline® is a registered trademark of Pembina Pipeline
Corporation.
SOURCE Pembina Pipeline Corporation