Premay Pipeline Industry Info.

The following information on the pipeline industry will give you a background about the industry.

These facts are gathered from the Canadian Energy Pipeline Association Website.

INDUSTRY FACTS
THE IMPORTANCE OF PIPELINES

Canadian transmission pipelines transport 95 per cent of the crude oil and natural gas produced in Canada. They are the vital link that connects oil and natural gas producers in remote areas of the country and domestic and export markets in urban centres.





 
Major Impact
Transmission pipeline make it possible for natural gas produced in northeaster B.C. to heat home and fuel major industries in Ontario and Quebec. Pipeline also moves crude oil and hydrocarbon products from remote areas of Alberta to Eastern Canada where they are refined into gasoline and used as feedstock for pharmaceuticals and plastics.
Domestic Needs
Pipelines transport almost two-thirds of our nation’s total energy supply. Natural gas transported by pipeline fills about 27 per cent of this supply, including the natural gas to heat more than half the nation’s homes. Crude oil carried largely by pipeline meets 40 per cent of Canada’s energy needs. Pipelines also transport imported crude oil is shipped to markets in Quebec and the Atlantic provinces that do not have economical access to Canadian supplies. These imports are offset by larger Canadian crude shipments to the U.S. Midwest.
Three Types of Lines
Together, these sectors operator a complex 540,000 - kilometre pipeline system that is made up of three types of pipelines. In the upstream sector, oil and gas producers operate flow lines or gathering lines that move raw products from remote wells to processing facilities or directly to transmission lines. Transmission pipeline, which can measure more than a metre in diameter, carry oil and gas from producers to local distribution companies or directly to large industries. Distribution companies move the products through distribution pipeline that deliver natural gas and liquid hydrocarbons to homes and businesses.
Getting Ready
Detailed environmental and archaeological studies are completed to assess and reduce impact. Contractors then clear the right of way. The actual construction is a mobile assembly line. Soil for the trench is removed in layers so that it can be replaced to conserve topsoil. The pipe itself is selected for strength and durability. These steel pipelines are given protective coatings to prevent corrosion.
Pressure Driven
Products travel through pipelines under pressure created by compressors and pump stations. In natural gas pipeline, compressors powered by gas engines or electric motors compress the gas up to one hundred times the normal atmospheric pressure. The same function is carried out on oil pipelines by pumps that are usually powered by electricity.
Major liquid hydrocarbon lines transport different types of refined and unrefined petroleum products. These products are separated and shipped in "batches" that travel at about five kilometres per hour; Natural gas pipelines move gas at a rate of about 20 kilometres per hour.
How Do Pipelines Work?
The oil and natural gas industry is divided into two main components. The upstream sector produces oil and natural gas from underground reservoirs while the downstream sector refines, markets and distributes the products. The transmission pipeline sector transports oil and natural gas from the upstream petroleum sector to downstream distribution networks.
Why Are Pipelines Used?
When new oil or gas is found, producers and pipeline operators look for the most economical way to transport the commodity to market. Pipelines are the most cost-effective method of transporting oil and natural gas.
How Are Pipelines Built?
After establishing the pipeline route and volumes to be transported, company land agents negotiate the acquisition of a right of way along the proposed route; Landowners are paid for access to the land and also compensated for disruptions caused by construction and maintenance of pipelines.
Why Are Pipelines Used?
When new oil or gas is found, producers and pipeline operators look for the most economical way to transport the commodity to market. Pipelines are the most cost-effective method of transporting oil and natural gas.
CEPA