$325M gas plant to be built north of Fort St. John

Two gas companies have agreed to partner up to help deliver gas from the Fort St. John region.

As part of that agreement, they have agreed to work together to build a plant worth an estimated $325 to $350 million about 100 kilometres north of Fort St. John.

article continues below

The agreement is between AltaGas – which controls quite a bit of the energy infrastructure in the Peace Region – and Painted Pony, a natural gas exploration and production company. 

“"We are very pleased to enter into this strategic alliance with AltaGas," said Patrick Ward, president and CEO of Painted Pony. "We have established a strong working relationship with their team and our companies are fully aligned with respect to the potential for Montney gas development and the timing required for achieving our mutual goals.

The companies expect the “Townsend” plant to be built by the end of 2015. The plant is expected to process 198 million cubic feet per day worth of natural gas. The gas produced will be “sweet” – meaning it does not contain the poisonous hydrogen sulfide, which some other natural gas extracted does contain.

AltaGas already runs the Blair Creek plant about 20 kilometres north of the Townsend facility. Painted Pony has been a frequent customer at the existing plant.

However, it’s still unclear when the plant will begin construction, how many people the companies expect to employ during construction, how many people are expected to be employed after construction, or if these workers will be housed in camps or elsewhere.

After the plant is completed, the companies said in a release that they could expand the Townsend facility so that it could recover additional natural gas liquids as well as process and potentially sell more of Painted Pony’s natural gas reserves.

Ward said that Painted Pony already owns the property, and that it is already partially developed for industrial purposes. He added that they wanted to build the plant because they have already had success in the Montney region around Fort St. John.  During the first and second quarters of 2015, they’ve increased production over 50 per cent, Ward said – and they would like a plant to process the gas they’re taking to make it suitable for the market.

Questions directed to AltaGas were not answered by press time.


© Copyright Alaska Highway News


NOTE: To post a comment you must have an account with at least one of the following services: Disqus, Facebook, Twitter, Google+ You may then login using your account credentials for that service. If you do not already have an account you may register a new profile with Disqus by first clicking the "Post as" button and then the link: "Don't have one? Register a new profile".

The Alaska Highway News welcomes your opinions and comments. We do not allow personal attacks, offensive language or unsubstantiated allegations. We reserve the right to edit comments for length, style, legality and taste and reproduce them in print, electronic or otherwise. For further information, please contact the editor or publisher, or see our Terms and Conditions.

comments powered by Disqus
Alaska Highway People's Choice 2019
Sign Up for our Newsletter!

Popular News

Lowest Gas Prices in Chetwynd, Dawson Creek, Fort Nelson, Fort St John, Tumbler Ridge
British Columbia Gas Prices provided by GasBuddy.com

Community Event Calendar

Find out what's happening in your community and submit your own local events.