Inter Pipeline said it invested $95m in pipeline and associated facilities that connect the Kirby South production site to the Cold Lake pipeline system.

Starting from August 2013, CNR can transport 63,000 barrels per day (b/d) of bitumen blend and 18,000 b/d of diluents through the system.

Inter Pipeline president and CEO David Fesyk said, "We are very pleased to be the transportation service provider for the Kirby South oil sands project."

"This is a highly accretive investment which complements our current expansion activities in the Cold Lake region. Our long term, integrated expansion plans are unfolding as we anticipated." Fesyk added.

In late March 2013, Inter Pipeline entered into definitive transportation agreements for a $2.6bn capacity expansion program on its Cold Lake and Polaris systems.

This will support three oil sands projects owned by the FCCL Partnership, a business venture between Cenovus and ConocoPhillips.