Keyera, a midstream energy company based in Canada, is developing the Wapiti sour gas processing complex, approximately 60km south-west to Grande Prairie in Alberta, Canada, in two phases.
The project was announced in May 2016 and the first phase was approved by Keyera in May 2017 with an estimated investment of $470m, following the signing of a long-term gas handling agreement with an unnamed customer. The construction of the first phase of the gas plant began in 2017 and is expected to be completed by 2019.
The second phase of the project with an estimated investment of $150m was announced in May 2018 and is expected to be completed in mid-2020.
Wapiti sour gas project purpose
The Wapiti sour gas processing complex is one of the many projects being undertaken by Keyera to strengthen its natural gas processing and transportation facilities. The company is developing natural gas reserves of the Wapiti Montney formation, which is a part of Western Canada Sedimentary Basin. The hydrocarbon reservoirs of the basin are located at a depth between 2,500m and 3,500m.
Development of the natural gas reserves will require additional processing and transportation infrastructure to support production of gas in the region. The other projects being developed by the company include the Simonette plant and the North Wapiti Pipeline System (NWPS).
Wapiti sour gas processing complex details
Wapiti sour gas processing complex is being developed on 21.5ha of land. Phase one will have one processing train with a capacity of 150 million metric cubic feet per day (Mmcf/d) of sour gas and 25,000 barrels of condensate per day. The first phase also includes the development of necessary infrastructure for the second phase.
Phase two will add a second processing train with a capacity of 150Mmcf/d to the gas plant.
The Wapiti plant will also include acid gas and water injection facilities, and gas gathering infrastructure. The underground works for Wapiti gathering pipeline were completed in April 2018.
Three compressor stations including Gold Creek, Elmworth and Keyera Pipestone will be installed as part of the project. The processed gas will be distributed to customers through the TransCanada Pipeline, while the condensate will be distributed through the Pembina Peace Pipeline.
Gas supply for Wapiti sour gas processing complex
Wapiti sour gas processing complex is a part of Keyera’s Wapiti development project, which also includes the construction of the 37km-long NWPS with an estimated investment of $160m. The pipeline system will include a 12in sour gas pipeline, and a sour liquids and fuel gas pipeline with a diameter of 8in each.
The NWPS is one of many gas projects being undertaken by Kereya, which will source the feed gas and condensate from the Wapiti Montney formation. The pipeline will connect to the Wapiti gas plant through the Keyera Pipestone compressor station.
Keyera has entered long-term gas handling and take-or-pay agreements with Paramount Resources in May 2017 for the first phase of the Wapiti gas plant. The company also entered similar agreements with Pipestone Oil in November 2017.
Jacobs Engineering Group was awarded the engineering services contract by Keyera for the construction of the first phase of the Wapiti gas plant in June 2017. The company was also contracted for the second phase in August 2018.
Heavy North was awarded the contract for site preparation and site grading work for the construction of the Wapiti gas plant in May 2017.