CALGARY, Alberta, Nov. 24, 2015 (GLOBE NEWSWIRE) -- SemCAMS, a subsidiary of SemGroup® Corporation (NYSE: SEMG ), today announced that it has acquired gas and condensate facilities in the Kaybob area of Alberta for approximately $38 million (Cdn). The recently constructed facilities include field compression, dehydration and condensate handling equipment which complements the previously announced SemCAMS KA North Condensate pipeline, KA North II gas pipeline and the KA Gas Plant condensate stabilizer. The acquisition is supported by an acreage dedication, economic return assurances, and a 20-year long-term agreement with a significant oil and gas producer.
The acquired facilities are currently capable of handling 40 mmcfd of gas and associated liquids, with ability to expand up to 80 mmcfd. In addition to the purchased facilities, SemCAMS is pleased to announce the successful commissioning of a 17,000 bbls per day condensate stabilizer at its KA gas plant, which came online earlier in the month. The acquired facilities and the previously announced projects at the KA Gas Plant further support SemCAMS’ long term commitment to be the premier midstream service provider in the liquids-rich Duvernay development area.
In the Wapiti region, work continues on a FEED study for a new 200 mmcfd sour gas processing plant to be located at 35-16-67-7W6. The plant would be designed to take advantage of synergies with existing SemCAMS infrastructure, including the ability to process acid gas via both acid gas injection and by transport via existing pipeline to the SemCAMS’ K3 Gas Plant. The study will be complete in Q1, 2016, and a final investment decision will follow thereafter provided SemCAMS secures sufficient producer support.
“The Durvernay and Montney projects further strengthen our position in these active development areas, and they clearly support our growth strategy which includes expansion and optimization of our significant existing infrastructure, and construction of new greenfield projects, to meet our customers’ long-term midstream gathering and processing needs,” said David Gosse, SemCAMS’ Vice President and General Manager.
For additional information on the Duvernay projects, please contact Greg Bosch, Manager, Business Development, at 403.536.3044. For Montney information, please contact Rob Nimmo, Director, Business Development, at 403-536-3023.
About SemCAMS SemCAMS U.L.C., a subsidiary of SemGroup® Corporation (NYSE: SEMG ), is a gathering and processing business which provides midstream solutions for natural gas producers in Western Canada. SemCAMS is one of Alberta’s largest licensed sour gas processors with facilities located near Whitecourt and Fox Creek. The company also operates two sweet gas processing facilities in this region. SemCAMS is based in Calgary, Alberta, Canada. For more information, visit www.semcams.com .
About SemGroup Based in Tulsa, Oklahoma, SemGroup® Corporation (NYSE: SEMG ) is a publicly traded midstream service company providing the energy industry the means to move products from the wellhead to the wholesale marketplace. SemGroup provides diversified services for end users and consumers of crude oil, natural gas, natural gas liquids, refined products and asphalt. Services include purchasing, selling, processing, transporting, terminalling and storing energy.
Forward-Looking Statements Certain matters contained in this Press Release include “forward-looking statements” within the meaning of Section 27A of the Securities Act of 1933, as amended, and Section 21E of the Securities Exchange Act of 1934, as amended. We make these forward-looking statements in reliance on the safe harbor protections provided under the Private Securities Litigation Reform Act of 1995.
All statements, other than statements of historical fact, included in this Press Release may constitute forward-looking statements. Although we believe that the expectations reflected in these forward-looking statements are reasonable, we cannot assure you that these expectations will prove to be correct. These forward-looking statements are subject to certain known and unknown risks and uncertainties, as well as assumptions that could cause actual results to differ materially from those reflected in these forward-looking statements. Factors that might cause actual results to differ include the risk factors discussed from time to time in each of our documents and reports filed with the SEC.
Readers are cautioned not to place undue reliance on any forward-looking statements contained in this Press Release, which reflect management’s opinions only as of the date hereof. Except as required by law, we undertake no obligation to revise or publicly release the results of any revision to any forward-looking statements.
Contacts: Investor Relations: Alisa Perkins 918-524-8081 investor.relations@semgroupcorp.com Media: Kiley Roberson 918-524-8594 kroberson@semgroupcorp.com
