A deal has been reached to build a new sour gas processing plant southwest of Grande Prairie. SemCAMS says it has reached a 15 year agreement with NuVista Energy to process up to 120 million cubic feet of sour gas a day.
The Wapiti Gas Plant will have the capacity to process up to 200 million cubic feet and 20-thousand barrels of condensate daily. The company says it’s already in talks with other producers in the area to use the remaining capacity. The plant will tie into SemCAMS existing pipelines, meaning it will be able to process 330 million cubic feet of gas per day from the Montney area.
It’s expected construction will start in spring 2017, with the facility online within two years. The project is estimated to cost $300 to $350 million.
SemCAMS started up a new pipeline in the Wapiti area in June 2015, also in partnership with NuVista Energy. The 34 kilometres gathering line called the Northwest Wapiti Loop increased its capacity by 30 million cubic feet per day.