AltaGas Ltd. reported that the Gordondale Gas Plant (Gordondale) and the Harmattan Co-stream project (Co-stream Project) have met commercial in-service requirements. In 2012 AltaGas has added over 420 Mmcf/d of processing capability.

The Gordondale plant is one of the largest sour gas plants built in Alberta in the last 15 years and was constructed in record time to meet producers' requirements in the area. The 120 Mmcf/d facility successfully commenced processing gas at the end of October slightly ahead of schedule and is currently earning revenue under a long-term take-or-pay contract. The plant is located in the Montney resource area, one of the largest low-cost, liquids-rich resource plays in the Western Canadian Sedimentary Basin. Given the deep cut capability and strategic location of the plant, AltaGas expects utilization of the plant to increase over the coming months.

The Co-stream Project uses 250 Mmcf/d of existing spare capacity at the Harmattan Complex and went into commercial operation at the end of November. AltaGas is currently receiving revenue under a 20-year cost-of-service contract with NOVA Chemicals Corporation. The Co-stream Project recovers ethane and other NGLs from natural gas sourced in the NOVA Gas Transmission Ltd. (NGTL) Western System. AltaGas is currently processing 300 to 350 Mmcf/d or approximately 65 percent of plant capacity.

Tags: AltaGas Ltd.