Inter Pipeline Fund Announces Transportation Agreements for Oil Sands Development Program
Inter Pipeline Fund (IPL-UN.TO) has entered into binding agreements to provide bitumen blend and diluent transportation services to three major oil sands projects owned by the FCCL Partnership, a business venture between Cenovus Energy and ConocoPhillips.
Inter Pipeline's development plans include providing 500,000 barrels per day of committed bitumen blend capacity and 350,000 b/d of diluent capacity to FCCL through the construction of approximately 840 kilometres of new pipeline and seven new pump stations.
Inter Pipeline currently forecasts this development program will cost $2.6 billion, up from a previous estimate of $2.2 billion due to changes in the scope of requested services and the further refinement of capital costs.
IPL shares were down eight cents at $23.53.
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