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Keyera Approves KAPS - A Montney Condensate & NGL Pipeline System
Keyera Approves KAPS - A Montney Condensate & NGL Pipeline System Keyera Appro...
About this update from Keyera Corp.
[{"type":"text","content":"\n\n\n\nKeyera Approves KAPS - A Montney Condensate & NGL Pipeline System\n\n/* Style Definitions */\nspan.prnews_span\n{\nfont-size:8pt;\nfont-family:\"Arial\";\ncolor:black;\n}\na.prnews_a\n{\ncolor:blue;\n}\nli.prnews_li\n{\nfont-size:8pt;\nfont-family:\"Arial\";\ncolor:black;\n}\np.prnews_p\n{\nfont-size:0.62em;\nfont-family:\"Arial\";\ncolor:black;\nmargin:0in;\n}\n\n\n\n\n\n\nKeyera Approves KAPS - A Montney Condensate & NGL Pipeline System\nCanada NewsWire\nCALGARY, May 14, 2019\n\n\n\nCALGARY, May 14, 2019 /CNW/ - Keyera Corp. (TSX:KEY) (\"Keyera\") is pleased to announce it is proceeding with the development of the Key Access Pipeline System (\"KAPS\"), a natural gas liquids (\"NGL\") and condensate pipeline system that will transport growing Montney and Duvernay production in northwestern Alberta to Fort Saskatchewan. Keyera has partnered with SemCAMS Midstream ULC, owned jointly by SemGroup Corporation® and KKR, to develop this open-access system with initial connections into Keyera's fractionation assets and condensate system in Fort Saskatchewan. \nThis project is highly desired by industry as it provides an additional and alternative transportation solution to deliver production from Alberta's liquids-rich developments to market. KAPS is expected to be operational in the first half of 2022 and provide Keyera with secure, long-term, take-or-pay revenues and strong project returns. The project is expected to generate an annual return on capital of between 10% and 15% starting in 2024. KAPS is also an important link between Keyera's growing gathering and processing franchise in northwestern Alberta and its strong liquids infrastructure network at Fort Saskatchewan, creating a platform for significant future opportunities. \nKeyera and SemCAMS Midstream ULC (\"SemCAMS\") will develop this world-class pipeline under a 50/50 joint venture agreement. Keyera and SemCAMS will have nine gas plants operating in northwestern Alberta by 2022 with access to approximately 2.25 billion cubic feet per day of natural gas processing capacity and 130,000 barrels per day of condensate handling facilities. This new joint venture replaces the arrangement between Keyera and Wolf Midstream that was signed in late 2018. \nHighly Contracted Project with Growth OpportunitiesThe project is anchored by multiple long-term agree...