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Last updated on April 18, 2014 at 17:24 EDT

Aux Sable Canada secures additional long-term, liquids-rich natural gas supply agreements with Canadian producers beyond 2015

February 7, 2013

CALGARY, Feb. 7, 2013 /CNW/ – Aux Sable Canada LP is pleased to announce
that it has signed additional Rich Gas Premium agreements with Canadian
producers that will enhance the value of producers’ natural gas liquids
(NGLs) near term and beyond 2015. By transporting liquids via the
Alliance Pipeline to Aux Sable Liquid Products’ Channahon facility in
Illinois for processing and fractionation, producers have access to
large and liquid natural gas and NGL markets.

New Rich Gas Premium agreements were signed with Crocotta Energy Inc.,
Seven Generations Energy Ltd. and others. They join Trilogy Energy,
Celtic Exploration, Crew Energy and Cequence Energy, who previously
entered into Rich Gas Premium agreements with Aux Sable. Beyond 2015,
these agreements are expected to result in transportation of
approximately 450 million cubic feet per day of natural gas on the
Alliance Pipeline.

“Aux Sable has responded to the significant interest from the producing
community to enhance the value for their liquids-rich natural gas,”
said Tim Stauft, President of Aux Sable Canada. “Aux Sable’s rapidly
expanding Rich Gas Premium services deliver higher NGL netbacks to
producers at a lower cost compared to the market alternatives in
Western Canada.”

Aux Sable Canada has been actively working with producers to provide
customized midstream services for natural gas and NGLs to reach growing
U.S. NGL markets. Aux Sable Canada offers Rich Gas Premiums and other
midstream services that include construction and operation of
processing plants and pipelines for rich gas producers. Under Rich Gas
Premium agreements, individual producers realize value from NGLs
extracted at Aux Sable Liquid Products’ NGL extraction and
fractionation facility in Illinois.

Aux Sable Canada’s U.S. affiliate, Aux Sable Liquid Products owns and
operates the world-scale natural gas liquids extraction and
fractionation facility in Illinois at the terminus of the Alliance
Pipeline.

Aux Sable Canada is owned by Enbridge and Veresen Inc.  Aux Sable
Canada’s U.S. affiliate, Aux Sable Liquid Products (http://www.auxsable.com) is owned by Enbridge, Veresen Inc. and Williams.

SOURCE Aux Sable Canada LP


Source: PR Newswire