Uncertainty clouds fundamental strengths of Canada's industry - 1998 forecasts for the Canadian oil and gas industry - Industry Overview

World Oil, Feb, 1998 by Robert Curran

TRANSPORTATION

Pipeline capacity, especially for natural gas, continues to be a major concern. By the end of 1997, 15 natural gas and seven oil pipeline projects - with a combined cost of $1.7 billion - had been announced, with plans to build them over the next three years. In 1998, two expansions, one, each, by TransCanada PipeLines and Northern Border, will add 1.1 Bcfd of capacity.

The Alliance project, formed by a consortium of oil and gas producers, has progressed to the point where formal hearings took place in mid-January, but they were unresolved at the time this article was written. The project has gained in stature since its inception, attracting the interest of several U.S. companies, including Coastal Corp., which holds a 10.4% share, Duke Energy Corp., which bought its 9.8% share in January, Unocal Corp. and Mapco Inc.

Editor's note: Mr. Curran is a Calgary-based freelance writer.