Trans Mountain Pipeline (ULC)

Trans Mountain Expansion Project

Volume 2

Volume 2 – Project Overview, Economics and General Information

Page 2-1

1.0

INTRODUCTION

1.1

Project Overview

Trans Mountain Pipeline ULC (Trans Mountain) is a Canadian corporation with its head office

located in Calgary, Alberta (AB). Trans Mountain is a general partner of Trans Mountain

Pipeline L.P., which is operated by Kinder Morgan Canada Inc. (KMC), and is fully owned by

Kinder Morgan Energy Partners, L.P. Trans Mountain is the holder of the National Energy Board

(NEB) certificates for the Trans Mountain pipeline system (TMPL system).

The TMPL system commenced operations 60 years ago and now transports a range of crude oil

and petroleum products from Western Canada to locations in central and southwestern British

Columbia (BC), Washington State and offshore. The TMPL system currently supplies much of

the crude oil and refined products used in BC. The TMPL system is operated and maintained by

staff located at Trans Mountain’s regional and local offices in Alberta (Edmonton, Edson, and

Jasper) and BC (Clearwater, Kamloops, Hope, Abbotsford, and Burnaby).

The TMPL system has an operating capacity of approximately 47,690 m

3

/d (300,000 bbl/d)

using 23 active pump stations and 40 petroleum storage tanks. The expansion will increase the

capacity to 141,500 m

3

/d (890,000 bbl/d).

The proposed expansion will comprise the following:

•

Pipeline segments that complete a twinning (or “looping”) of the pipeline in

Alberta and BC with about 987 km of new buried pipeline.

•

New and modified facilities, including pump stations and tanks.

•

Three new berths at the Westridge Marine Terminal in Burnaby, BC, each

capable of handling Aframax class vessels.

The expansion has been developed in response to requests for service from Western Canadian

oil producers and West Coast refiners for increased pipeline capacity in support of growing oil

production and access to growing West Coast and offshore markets. NEB decision

RH-001-2012 reinforces market support for the expansion and provides Trans Mountain the

necessary economic conditions to proceed with design, consultation, and regulatory

applications.

Application is being made pursuant to Section 52 of the

National Energy Board Act

(

NEB Act

)

for the proposed Trans Mountain Expansion Project (referred to as “TMEP” or “the Project”).

The NEB will undertake a detailed review and hold a Public Hearing to determine if it is in the

public interest to recommend a Certificate of Public Convenience and Necessity (CPCN) for

construction and operation of the Project. Subject to the outcome of the NEB Hearing process,

Trans Mountain plans to begin construction in 2015/2016 and go into service in 2017.

Trans Mountain has embarked on an extensive program to engage Aboriginal communities and

to consult with landowners, government agencies (

e.g.

, regulators and municipalities),

stakeholders, and the general public. Information on the Project is also available at

www.transmountain.com.