Trans Mountain has initiated a new project to enhance the oil flow through its pipeline connecting Alberta and British Columbia. The Crown corporation recently requested approval from the Canada Energy Regulator to utilize drag reducing agents (DRA) aiming to increase oil transportation capacity by up to 10 percent.
The proposed project is estimated to cost $9 million, with construction slated to commence in August as per documents submitted to the regulator. The operationalization of the project is anticipated by January 2027. The original Trans Mountain pipeline network was established in the 1950s, while the $34 billion expansion project began oil transport from Edmonton to Vancouver in May 2024.
Originally, the Crown corporation had scheduled pipeline expansion considerations for later in the decade. However, the timeline was expedited due to the escalating oil production in Alberta and the projected capacity constraints of existing export pipelines in the upcoming years.
According to Trans Mountain, the DRA Project will not lead to additional vessel traffic at the Westridge Marine Terminal beyond the assessments conducted during the reconsideration of the Trans Mountain Expansion Project. The company is contemplating various other initiatives, like the construction of additional pumping stations, to boost oil transport capacity by an extra 360,000 barrels per day within the next five years. Currently, the twin pipeline system can transport around 890,000 barrels per day between Alberta and the British Columbia coast.
Drag reducing agents are chemical substances that diminish friction within pipelines and are deemed cost-effective compared to alternative enhancements for the pipeline system. Several proposed expansions to significant pipelines, including Trans Mountain, are expected to substantially increase the volume of oil exportation from Western Canada.