ALBERTA

Enbridge's New Suncor Oilsands Projects: Energy Giant Spends Whopping $150 Million To Expand Tankage

09/27/2012 07:15 EDT | Updated 11/27/2012 05:12 EST
Flickr: roy.luck
CALGARY - Enbridge Inc. is expanding tankage at its Athabasca Terminal to accommodate growing production from two of Suncor Energy Inc.'s oilsands projects in northern Alberta.

The Calgary-based pipeline giant says the $150-million expansion includes a 350,000-barrel tank and other infrastructure.

Construction began in July and the expansion is expected to be in service in mid-2013.

Suncor and Enbridge have signed an agreement that will see the pipeline company recover all operating costs, a return on equity and all of its invested capital.

The expansion is meant to handle growing volumes from Suncor's Firebag 4 and Firebag 4 developments.

"We're pleased to further strengthen our relationship with Suncor by delivering timely and innovative terminalling and transportation services," said Steve Wuori, president of liquids pipelines and major projects at Enbridge.

Also on HuffPost

The Oil Sands and Canada's Environment