Maritimes Begins Gas Flow To Start the New Year
Maritimes & Northeast Pipeline celebrated the new millennium
with the rattle and hum of initial gas flowing from the shoreline
of Nova Scotia 650 miles to markets in the northeastern United
States. After struggling through an 11th hour Indian dispute in
Canada, the pipeline company said it opened its valves Jan. 1.
Throughput is averaging more than 100 MMcf/d (36 MMcf/d to the
U.S.) and producers with the Sable Offshore Energy Project said
they expect it to ramp up to 440 MMcf/d quickly. About 360 MMcf/d
is expected to enter the U.S. by mid-February. The Sable project
will reach peak flow of 530 MMcf/d after Nova Scotia and New
Brunswick laterals are put in place, which is expected to be by
Sable sponsor Exxon Mobil Corp. said the $2 billion gas
production project began initial flow in mid-December to the gas
plant in Goldboro, NS. The upstream project consists of three
offshore platforms, a 125-mile subsea pipeline and gas processing
and fractionation plants.
".....Sable's natural gas wells have surpassed production
expectations and are delivering a new source of clean-burning
natural gas to a high-density market in New England and to new
customers in the Canadian Maritime Provinces," said Exxon Mobil
Director and Senior Vice President Harry Longwell.
First-phase production for the Sable project is from the
Thebaud, Venture and North Triumph gas fields, located about 125
miles off the coast of Nova Scotia. Three additional fields are
associated with a second phase of development. The six fields are
estimated to contain more than 3.5 Tcf of gas and more than 100
million bbl of gas liquids. Pre-production test rates for the six
Sable wells drilled to date --- which range from 50 MMcf/d to 100
MMcf/d --- indicate they are some of the best gas producers in
Canadian history and will enable the project to exceed its target
for daily production, the company said.
Exxon Mobil's share in the project is through Mobil Canada
(50.8%) and its 70% interest in Imperial Oil (9% of Sable). Other
partners are Shell Canada (31.3%), Nova Scotia Resources (8.4%) and
Mosbacher Operating (0.5%).
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