CALGARY, Alberta, June 29, 2015 (GLOBE NEWSWIRE) -- SemCAMS, a subsidiary of SemGroup® Corporation (NYSE:SEMG), today announced the startup of a new, sour gas gathering line servicing the Wapiti area. The pipeline was officially placed into service on Saturday, June 27, 2015. As previously announced in May 2014, the project is supported by a 10-year term transportation service agreement with NuVista Energy Inc.
"SemCAMS is pleased with NuVista's continued growth and the confidence they have in our ability to handle liquid rich gas production from the Wapiti/Elmworth area," said David Gosse, SemCAMS' vice president and general manager. "We understand how important it is for a producer to get to market on schedule. We have seen a concerted effort by both parties to meet this on-stream date for NuVista's production facilities and SemCAMS' new infrastructure. We look forward to further growth including our previously announced Wapiti Compressor planned for 2016 and proposed new gas plant to provide superior service to area producers."
The new gathering line is adjacent to SemCAMS' existing Northwest Wapiti pipeline and is called the Northwest Wapiti Loop. This new pipeline consists of a 21 mile, 8 inch, sour gas gathering pipeline with 30 mmcf/d of capacity. SemCAMS will own and operate the new pipeline. This line connects to SemCAMS' pipeline system for processing at SemCAMS' K3 plant.
SemCAMS anticipates continued growth for the Montney gas play. To meet producers' development plans, SemCAMS has proposed building a new sour gas plant in the Wapiti/Elmworth area. As proposed, this plant would be designed to maximize NGL recoveries and handle condensate and resource water, with an acid gas transfer and injection scheme, and would connect to TCPL, Alliance, Pembina and SemCAMS' existing sour gas pipeline system. SemCAMS' expanded pipeline system and its K3 plant would bring enhanced reliability to this project by providing an acid gas handling capability.
Prospective producers that desire to secure service in the Wapiti/Elmworth area should contact Rob Nimmo, director, business development, at (403) 536-3023, or at rnimmo@semgroupcorp.com.
About SemCAMS
SemCAMS U.L.C., a subsidiary of SemGroup® Corporation (NYSE:SEMG), is a gathering and processing business which provides midstream solutions for natural gas producers in Western Canada. SemCAMS is one of Alberta's largest licensed sour gas processors with facilities located near Whitecourt and Fox Creek. The company also operates two sweet gas processing facilities in this region. SemCAMS is based in Calgary, Alberta, Canada. For more information, visit www.semcams.com.
About SemGroup
Based in Tulsa, Oklahoma, SemGroup® Corporation (NYSE:SEMG) is a publicly traded midstream service company providing the energy industry the means to move products from the wellhead to the wholesale marketplace. SemGroup provides diversified services for end users and consumers of crude oil, natural gas, natural gas liquids, refined products and asphalt. Services include purchasing, selling, processing, transporting, terminalling and storing energy.
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