CALGARY - Pembina Pipeline Corp. (TSX:PPL) is boosting its capital spending program to a record $1.5 billion in 2014.
Calgary-based Pembina said Thursday that the 56 per cent increase over 2013 is being largely driven by its success in securing growth opportunities during the year.
Approximately $1.3 billion, or 85 per cent of the total capital, is associated with previously announced projects, it said.
"Pembina's capital spending plan for 2014 is indicative of the substantial suite of growth projects we have before us, the majority of which are under long-term, fee-for-service agreements," president and CEO Mick Dilger said.
"This investment is directly aligned with our goal of providing long-term and sustainable value to our shareholders."
Pembina plans to spend approximately $670 million, or 44 per cent of the budget, in its conventional pipelines business.
About $510 million, or 33 per cent, is going to midstream on initiatives that will increase its fee-for-service business.
Meanwhile, Pembina will spend $260 million on construction of several new facilities within its gas services business.
The final $60 million is going to its oilsands and heavy oil business, largely to advance work on the proposed Cornerstone pipeline.
Pembina Pipeline transports crude oil and natural gas liquids produced in western Canada and owns and operates oil sands pipelines. It also owns and operates gas gathering and processing facilities and an oil and natural gas liquids infrastructure and logistics business.