Enbridge said it was spending $1.3 billion on its 228-mile Woodland pipeline extension. The project would have an initial capacity of 400,000 barrels of oil per day and eventually support the delivery of 800,000 bpd. The company said it would help service the Kearl oil sands project, opened recently by Imperial Oil.
"Extension of the Woodland pipeline will bring additional crude oil transportation capacity into the Edmonton area, enabling us to accommodate forecasted regional oil sands production growth from the Kearl project and other oil sands projects targeted for delivery into the Edmonton hub," Stephen Wuori, president of pipelines projects for Enbridge, said in a Thursday statement.
The independent Energy Resources Conservation Board, a provincial agency in Alberta, announced approval of plans for Enbridge for its Woodland project in August.
Alberta oil sands refineries service U.S. and western Canadian markets. Enbridge said the Woodland project would go into service by the third quarter of 2015.