Seven Generations Energy has signed an agreement with Tenaska Marketing Canada and Tenaska Marketing Ventures (Tenaska) to optimize natural gas market access in the US Midwest.
"Tenaska is a leading North American energy firm with the gas marketing expertise and market connections to help optimize the value of our growing sales in the U.S. Midwest. This arrangement will strengthen our ability to market natural gas in one of the continent’s largest energy markets," said Pat Carlson, 7G’s Chief Executive Officer.
Seven Generations holds transportation capacity that grows incrementally over the next three years on Alliance Pipeline – a liquids-rich conduit that will allow 7G to start flowing 250 million cubic feet per day of rich gas as of December 1, 2015. Transportation commitments step up to reach 500 million cubic feet per day in 2018. Under the agreement, Tenaska will manage the day-to-day capacity and transportation of 7G’s liquids-rich natural gas on Alliance from 7G’s Kakwa River Project in northwest Alberta to natural gas buyers in the Chicago area.
"We are excited about the opportunity to align with Seven Generations through this asset management arrangement. We believe that our experience and physical asset expertise will assist Seven Generations in maximizing the value of its natural gas production," said Fred Hunzeker, President and CEO, Tenaska Marketing Group.
TenaskaTenaska is among the top five natural gas marketers in North America and ranks first in gas pipeline trading release capacity. In 2014, it sold or managed approximately 2.5 trillion cubic feet of natural gas, or about 9.4 percent of the total U.S. natural gas consumption.
Seven GenerationsSeven Generations is a low-cost, high-growth Canadian gas developer generating long-life value from its liquids-rich, natural gas Kakwa River Project, located about 100 kilometres south of its operations headquarters in Grande Prairie, Alberta. 7G’s corporate headquarters are in Calgary and its shares trade on the TSX under the symbol VII.