Aux Sable and Seven Generations team up for additional liquids rich gas
CALGARY, June 26, 2014 /CNW/ - Aux Sable Canada LP is pleased to announce it
has executed an additional long-term Rich Gas Premium (RGP) agreement with
Seven Generations Energy Ltd (7G). The agreement significantly increases the
volumes originally agreed to by the companies in February 2013.
Under this new long-term agreement, volumes of liquids-rich natural gas from
7G's Kakwa River Project are expected to ramp-up to 500 million cubic feet per
day (mmcf/d). These supplies will be processed at Aux Sable's extraction and
fractionation facilities located in Channahon, Illinois.
"This arrangement enables 7G to deliver about a quarter of what we see as the
ultimate potential productivity from our current land base," said Pat Carlson,
7G's Chief Executive Officer. "We have been delivering rich gas to Aux Sable
through Alliance since November 2012. Our experience to date has been very
positive and has given us confidence in Alliance and Aux Sable as midstream
partners, for this expansion and, possibly, further joint ventures in the
future. The terms of the agreement allow us to achieve U.S. pricing on a
significant portion of our overall production, providing reduced risk through
built-in market diversity."
"We have received overwhelming support for our RGP agreements from liquids
rich gas producers in Canada and the U.S. seeking the best value for their
products. Our facilities are strategically positioned to provide liquids-rich
gas producers with access to competitive natural gas and natural gas liquids
markets," said Tim Stauft, President & Chief Executive Officer of Aux Sable
Canada. "This transaction substantially strengthens our feedstock supply
Aux Sable continues to work with producers to attract liquids-rich gas to its
facilities beyond 2015.
About Aux Sable
Aux Sable Canada's U.S. affiliate, Aux Sable Liquid Products, owns and
operates the world-scale natural gas liquids extraction and fractionation
facilities in Illinois near the terminus of the Alliance Pipeline. The
facility is capable of processing 2,100 mmcf/d of natural gas and can produce
approximately 107,000 barrels per day of specification natural gas liquid
products. For more information, visit http://www.auxsable.com.
Aux Sable Canada is owned by Enbridge Inc. and Veresen Inc. Aux Sable
Canada's U.S. affiliate, Aux Sable Liquid Products is owned by Enbridge,
Veresen and Williams Partners.
SOURCE Aux Sable Canada LP
Media Contact: Dorothy Golosinski, Senior Director, Regulatory and Public
Affairs, Aux Sable Canada, (403) 508-5865, E-mail:
firstname.lastname@example.org. Commercial Contact: Tim Stauft, President &
Chief Executive Officer, Aux Sable Canada, (403) 508-5868, E-mail:
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CO: Aux Sable Canada LP
NI: OIL ORDER VNT
-0- Jun/26/2014 20:15 GMT
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