TransCanada and Phoenix Energy Holdings Ltd. Form Joint

TransCanada and Phoenix Energy Holdings Ltd. Form Joint Venture to
Develop Grand Rapids Pipeline System 
CALGARY, ALBERTA -- (Marketwire) -- 10/29/12 -- TransCanada
Corporation (TSX:TRP) (NYSE:TRP) (TransCanada) announced today that
it has entered into binding agreements with Phoenix Energy Holdings
Limited (Phoenix) to develop the Grand Rapids Pipeline project in
Northern Alberta. 
TransCanada and Phoenix will each own 50 per cent of the proposed
$3-billion pipeline project that includes both a crude oil and a
diluent line to transport volumes approximately 500 kilometres
between the producing area northwest of Fort McMurray and the
Edmonton/Heartland region. The Grand Rapids Pipeline system is
expected to be in-service by early 2017, subject to regulatory
approvals, with capital spent between 2014 and 2017. The system will
have the capacity to move up to 900,000 barrels per day of crude oil
and 330,000 barrels per day of diluent. TransCanada will operate the
system and Phoenix has entered a long-term commitment to ship crude
oil and diluent on it. 
"As Alberta crude oil production continues to grow, it's critical to
have the infrastructure in place to move oil to market from emerging
developments west of the Athabasca River. This is the first major
pipeline project to m
eet the needs of this fast-growing area," said
Russ Girling, TransCanada's president and chief executive officer.
"With over 60 years' experience in Alberta and North America,
TransCanada is a leader in providing safe, efficient and reliable
operation of energy infrastructure. We are pleased Phoenix is joining
us on the Grand Rapids Pipeline project to transport this growing,
long-term supply of Canadian crude oil in a manner that respects the
communities and environment where the pipeline will operate." 
"Phoenix is committed to developing its Dover and MacKay River oil
sands assets through multiple phases. Given that transportation in
the Athabasca region has become a bottleneck, working with
TransCanada to build a pipeline system in a timely fashion is crucial
to implement our development strategy. This transportation solution
will be important to Phoenix and other potential producers in this
area to monetize their huge resources," said Zhiming Li, Phoenix's
president and chief executive officer.  
The final Grand Rapids Pipeline route and design will be determined
with Aboriginal and stakeholder input, as well as consideration for
environmental, archaeological and cultural values, land use
compatibility, safety, constructability and economics. TransCanada
expects to apply for regulatory approval for the project in 2013. As
a member of the world Dow Jones Sustainability Index, TransCanada is
an industry leader that is committed to minimizing the impact of its
The Grand Rapids Pipeline system will further expand TransCanada's
liquids transportation capabilities and complement TransCanada's
extensive operating experience in Alberta. TransCanada recently
announced the Northern Courier Pipeline project, a 90-kilometre
pipeline system to transport bitumen and diluent between the Fort
Hills mine site and the Voyageur Upgrader located north of Fort
McMurray, Alberta. 
The project will be constructed, owned and operated by the Grand
Rapids Pipeline Limited Partnership, which is jointly owned by
Phoenix and a wholly-owned subsidiary of TransCanada Corporation. 
TransCanada currently operates 24,200 kilometres of natural gas
pipelines across Alberta and 3,500 kilometres of crude oil pipelines
through the operation of the Keystone Pipeline. Keystone has safely
transported more than 300 million barrels of crude oil from Alberta
to markets in the United States. 
With more than 60 years' experience, TransCanada is a leader in the
responsible development and reliable operation of North American
energy infrastructure including natural gas and oil pipelines, power
generation and gas storage facilities. TransCanada operates a network
of natural gas pipelines that extends more than 68,500 kilometres
(42,500 miles), tapping into virtually all major gas supply basins in
North America. TransCanada is one of the continent's largest
providers of gas storage and related services with approximately 380
billion cubic feet of storage capacity. A growing independent power
producer, TransCanada owns or has interests in over 10,900 megawatts
of power generation in Canada and the United States. TransCanada is
developing one of North America's largest oil delivery systems.
TransCanada's common shares trade on the Toronto and New York stock
exchanges under the symbol TRP. For more information visit: or check us out on Twitter @TransCanada. 
This publication contains certain information that is forward-looking
and is subject to important risks and uncertainties (such statements
are usually accompanied by words such as "anticipate", "expect",
"would" or other similar words). Forward-looking statements in this
document are intended to provide TransCanada security holders and
potential investors with information regarding TransCanada and its
subsidiaries, including management's assessment of TransCanada's and
its subsidiaries' future financial and operation plans and outlook.
All forward-looking statements reflect TransCanada's beliefs and
assumptions based on information available at the time the statements
were made. Readers are cautioned not to place undue reliance on this
forward-looking information. TransCanada undertakes no obligation to
update or r
evise any forward-looking information except as required
by law. For additional information on the assumptions made, and the
risks and uncertainties which could cause actual results to differ
from the anticipated results, refer to TransCanada's Management's
Discussion and Analysis filed February 15, 2012 under TransCanada's
profile on SEDAR at and other reports filed by
TransCanada with Canadian securities regulators and with the U.S.
Securities and Exchange Commission.
Media Enquiries:
Shawn Howard/Grady Semmens
403.920.7859 or 800.608.7859 
Investor & Analyst Enquiries:
David Moneta/Terry Hook/Lee Evans
403.920.7911 or 800.361.6522
Press spacebar to pause and continue. Press esc to stop.