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TransCanada announced on Monday that it will move forward with a $140-million expansion of its NOVA Gas Transmission Ltd. (NGTL) system.

Natural gas shippers in western Canada executed binding agreements in March to 280 million cubic feet per day of export service from the NGTL’s Empress delivery point in southeast Alberta.

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The contracts, which will commence in November 2021, have an average term of 22 years.

NGTL also concurrently executed incremental intra-basin firm delivery service contracts with other shippers for an aggregate volume of 75 MMcf/d that contribute to the need for the new facilities, TransCanada said.

This new investment is a component of NGTL’s $7.3-billion multi-year infrastructure expansion program that will increase transportation capacity for Western Canada producers to downstream markets. 

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