trans mountain pipeline - coqa€¦ · 06/06/2013 · connects with trans mountain at sumas,...
TRANSCRIPT
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Trans Mountain Pipeline COQA Seattle, WA June 6, 2013
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Presentation Outline
2
• KMC• TMPL• Puget Sound• Managing differing commodities• Expansion
– Edmonton tank farm;– TMPL – Sumas, Puget Sound & Westridge
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Kinder Morgan: Facts
3
• Kinder Morgan is the largest midstream and the third largest energy company in North America;
• Interest in or operator of approximately 80,000 miles of pipelines and 180 terminals;
• Largest natural gas transporter and storage operator in the U.S. with approx. 70,000 miles of pipelines;
• Largest independent transporter of petroleum products in the U.S.;
• Largest transporter of carbon dioxide (CO2) in the U.S.;
• Largest independent Terminal owner/operator in the U.S.;
• Only oilsands pipeline serving the West Coast in Canada.
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Kinder Morgan Canada -- TMPL
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• 715 Miles;• 24 – 36” diameter;• From Edmonton, AB to
Burnaby, BC and Puget Sound;
• 24 pump stations
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Trans Mountain Pipeline -- Diversity
• Only pipeline system in North America that transports both Crude Oil and Refined Products;
• Custom blending for refineries;• Services Terminals and Refineries in central British
Columbia, Vancouver, and Washington State (via Puget Sound Pipeline);
• Services other markets via Westridge Marine Terminal (California, US Gulf Coast and Asia);
• Only pipeline from the Oilsands to the West Coast of Canada;
• In operation since 1953;
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Kinder Morgan Canada – Puget Sound
• 65 mile line;• 16 – 20” diameter;• 180,000 bbl/d capacity
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Puget Sound
• Puget SoundConnects with Trans Mountain at Sumas, British Columbia on the International Boundary, delivering Canadian crude oil to refineries in Ferndale and Anacortes on the West Coast of Washington State.
• System Facts:• In operation since 1956 • Ships light and heavy Canadian crude oil to various
Washington State refineries • Length: 105 km (65 miles) • Size: 406 - 508 mm (16 to 20-inches)• Capacity 180,000 b/d
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Multiple Grades & Delivery Locations
• How can we serve such diverse interests?– Batch sizing and staging– Buffers and transmix– Common Streaming– Merchant Storage– Batch Cutting– Education
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TMPL Commodity Throughput
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TMPL Batch Pipeline System
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Commodities vs. Critical Staging Tanks
• 50+ approved commodities – limited tankage;• Edmonton
– 19 tanks (2.2 MM bbls);– 20 incoming feeders;– Segregation and timing
• Sumas – 6 tanks (650,000 bbls);– Rate differential from mainline;– Assigned by refinery blends;
• Burnaby– 13 tanks (1.6 MM bbls);
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TMPL Service Standards
MAJOR COMPONENT
CONDENSATESLIG
HT SWEETLIG
HT SOUR
LIGHT SYNTHETIC
HEAVY
SUPER HEAVYHIG
H TAN SUPER HEAVY
REFINED PRODUCTSM
INO
R CO
MPO
NENT CONDENSATES C B B S B B B S
LIGHT SWEET B C B B B B B SLIGHT SOUR B B C S B B B S
LIGHT SYNTHETIC B B B C B B B SHEAVY S B B S B B B S
SUPER HEAVY S B B S B B B SHIGH TAN SUPER HEAVY S S S S S S B S
REFINED PRODUCTS S S S S S S S S
Note: S = Segregated, C = Commingled, B = Bottom
MIN
OR
COM
PONE
NT
• Service Standards provide shippers with expectation of what’s possible;• More approved commodities than available tanks – what must be
segregated, what can go over bottoms, what can be comingled.
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Batch Sizing and Staging
• Batch sizes limited to tank capacity;• Do not have the ability to receive directly due to
rate differentials (TMPL mainline into Puget Sound);
• Segregation by material grade – optimal for tank utilization rates;
• First in / First out - batches landing are pumped out in the order received;
• Enforcement of hold time policy
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Common Streaming
• By combining commodities with similar properties and value, we can reduce tank requirements;
• May require some Equalization;– Examples:
• MSW• Light Synthetics
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Diverse Qualities
• Each delivery point has specific needs and complexities:– Capacity– Complexity
• Building awareness – across logistics, scheduling and operations improves performance and results.
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Trans Mountain Edmonton Tank Farm
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Edmonton Tank Farm Expansion• Expansion in 2 phases: 4.82 MM
bbls;
• Phase 1 (2013) 3.62 MM bbls;
• Phase 2 (2014) 1.00 MM bbls;
• 14 tanks – 13 Merchant, 1 Regulated;
• Largest tanks (7) – 400,000 bbls;
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Edmonton Tank Farm -- Now
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Proposed Scope of Expansion Project
• The proposed expansion to increase capacity to 890,000 barrels per day
• Projected capital cost: Approximately $5.4 billion (CAD)
• Expansion based on 15-and 20-year commitments from shippers to use the line
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Proposed Scope of Expansion Project
• Result: a dual-line operation – twinned pipeline (approximately 980 km of new pipeline) with:– Existing line– lighter
products– The proposed new line
for heavier oils• 36-inch pipeline diameter • 11 new pump stations for a
total of 35 pump stations along the route
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Puget Sound SystemExisting System• Serves Cherry Point and Anacortes
– Length: 105 km (65 miles)– Diameter: 20” and 16”– Current capacity: 170,000 bpd– Pump stations: one at Laurel– Transit time ~24 hours
Proposed Upgrades• Increase capacity to 225,000 bpd
– New Burlington Pump Station– New 20” diameter pipeline (~1 mile long),
deactivation of adjacent 16-inch diameter pipeline– Removal of existing Burlington scraper trap– One additional pump at Laurel Pump Station– One additional meter at each Ferndale and
Anacortes Facilities– $40 million
1
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Westridge Dock Expansion
• One loading berth – post expansion – 3 berths;• Currently 7 loadings per month – post expansion
– 37 loadings per month;• New 30” diameter pipe to cover >2 miles from
BBY terminal to Dock;• New: Emergency Response Equipment,
secondary containment, vapour recovery, fire protection and loading facilities.
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Tankers in Vancouver
• Today: Aframax tanker capacity, 650,000 bbls
• Future: Suezmax tanker capacity, 1,000,000 bbls, savings $1.50/bbl
• Port Metro Vancouver supportive of Suezmaxcapability
• New Nav. Aids
• New Training for Vessel Pilots and Tug Captains
• Supporting BCIT Testing and simulation
• 2nd narrows channel dredging
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Fates and Effects – a teaser
• Interesting aspect of expansion – examining crude oil behaviors under a variety of stressors and situations;
• A few selected, quantity gathered, subjected to a variety of conditions and observed and measured;
• Currently just raw data….
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Kinder Morgan Canada
• Questions??????