| CALGARY, AB, Sept. 5, 2023 /CNW/ – Kingston Midstream Limited (“Kingston”) is pleased to announce today an agreement pursuant to which its wholly-owned subsidiary, Kingston Midstream Alberta Limited, will acquire Rangeland Midstream Canada Limited, the owner of the Marten Hills Pipeline. Closing of the transaction is expected to occur by the end of the third quarter of 2023, subject to certain regulatory approvals. The Marten Hills Pipeline (the “Pipeline”) is located in the Clearwater conventional heavy oil play in northern Alberta and includes a 12-inch diameter 82-kilometer long crude oil pipeline having a throughput capacity of 60,000 barrels per day (bpd), as well as a 4-inch diameter 82-kilometer long condensate pipeline. The Pipeline commenced operation in 2020 and its current throughput is approximately 45,000 bpd. The Pipeline services oil producers in the Marten Hills area of the Clearwater and transports their oil production to a number of end markets. Following the closing of this transaction, Kingston’s facilities in the Marten Hills area, together with its assets in southeast Saskatchewan and southwest Manitoba, will help transport over 220,000 bpd to market. Jim Hand, President & CEO of Kingston commented: “The acquisition furthers Kingston’s energy infrastructure platform and diversifies both its customer base and basin exposure, while adding critical, high quality long term crude infrastructure assets in one of the most prolific plays in North America. We’re excited about the opportunities this will create as we find new ways to continue assisting basin participants to safely and efficiently bring their products to market. We look forward to welcoming the field staff into the Kingston family”. Hartley T. Richardson, Executive Chair, President and Chief Executive Officer of James Richardson & Sons, Limited, Kingston’s parent company, stated, “We believe that the addition of this well-constructed and modern pipeline will be very complementary to Kingston’s existing portfolio of midstream infrastructure in western Canada”. RBC Capital Markets acted as Financial Advisor and Dentons provided legal advice to Kingston on the transaction. About Kingston Midstream Limited Kingston Midstream is a wholly-owned subsidiary of James Richardson & Sons, Limited. Kingston Midstream, with operations in Alberta, Saskatchewan and Manitoba, provides safe and reliable energy transportation and related services to the oil & gas industry in western Canada with over 2,200 km of crude oil and liquids pipelines, five crude oil terminals, and over 600,000 barrels of crude oil storage and loading capacity . Brummionline |
