CALGARY, Alberta, Aug. 27 (UPI) -- Canadian pipeline company Enbridge signed an agreement with Suncor Energy to build a 59-mile oil pipeline carrying crude oil from oil sands, the company said.
"We are fortunate to have Suncor as a shipper, and to benefit from their continued oil sands growth and need for pipeline and terminaling services, including this latest opportunity," said Stephen Wuori, the Enbridge executive in charge of liquids pipelines.
The $370 million Wood Buffalo pipeline will run parallel to the Athabasca pipeline that Suncor uses currently to transfer crude oil from oil sands. Suncor's existing commitments to the Athabasca pipeline remain in place, Enbridge said in a statement.
The Wood Buffalo pipeline will go into service by 2013 pending regulatory approval, the company added.
The Canadian pipeline company said last year it was spending $1.6 billion to expand oil sands projects in the region.
Enbridge is awaiting approval from U.S. regulators to restart Line 6B of the Lakehead system that ruptured July 26, spilling about 20,000 barrels of crude oil into Michigan waters.
