Northern Border Partners LP announced its intention to enter theCanadian midstream business. The company is buying the 87 MMcf/dMazeppa sour gas processing plant southeast of Calgary and aminority interest in the 85-mile Gregg Lake/Obed Pipeline (150MMcf/d of capacity), which is west of Edmonton, AB, from DynegyCanada. The purchase is expected to close during the first quarter.

“The Canadian midstream sector provides an excellent investmentopportunity for us along with another growth platform for thepartnership,” said Northern Border Partners Chairman Bill Cordes.

Dynegy COO Steve Bergstrom said the sale allows Dynegy to “focuson our core energy marketing and trading and communicationsbusinesses in North America and Europe.”

Northern Border Partners LP owns a 70% general partner interestin Northern Border Pipeline, a 1,214-mile interstate system thattransports gas from the Montana-Saskatchewan border to markets inthe Midwestern United States. Through Crestone Energy Ventures, thepartnership also owns interests in Crestone Gathering Services(100%), Bighorn Gas Gathering (49%), Fort Union Gas Gathering(33.33%) and Lost Creek Gathering (35%) in the Powder River andWind River Basins in Wyoming.

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