Canada’s Pipeline Transportation System 2016

Plains Midstream Canada ULC – Milk River Pipeline’s Milk River Pipeline

Table 9.6.1: Plains Midstream Canada ULC – Milk River Pipeline’s Milk River Pipeline

Commodity and NEB Group	Crude Oil (Group 2)
Average 2015 throughput	15 087 m³/d (94.9 Mb/d)
Primary receipt points	Milk River, AB
Primary delivery points	Santa Rita Station, Glacier County, MT
Abandonment Cost Estimate and Collection PeriodNote a	$4.1 million; 40 years

Overview

The Milk River Pipeline (Milk River) is a 16.5 km pipeline system that connects with the Bow River Pipeline at Milk River, AB. It transports a variety of crude oil streams to the Canada-U.S. border west of Coutts, AB and connects with the Cenex Santa Rita Pipeline System in the U.S. Milk River is owned by Plains Midstream Canada ULC (PMC).

Source: NEB

Text version of this map

This map provides an overview of the Milk River Pipeline System near the Alberta-Montana border.

Key Developments

In April 2012, Plains Midstream Canada ULC (PMC) submitted an application to the Board to replace the 10-inch pipeline between the Milk River Terminal south of Milk River, AB to the Canada-U.S. border. The Board approved the request on August 2012 (XO-P384-011-2012) and Leave to Open was granted in December 2012.

In October 2013, PMC filed with the Board an application to deactivate its 6-inch pipeline and other facilities that were no longer needed after the replacement of the 10-inch pipeline. The Board issued order MO-007-2014 on February 2014, granting the request.

Tolls

Figure 9.6.1 shows the Milk River benchmark toll (medium crude oil from the Milk River Pump Station to the U.S. border) and the GDP deflator (normalized) for 2010-15. Over this period, the benchmark toll has increased roughly in line with the GDP deflator. Milk River tolls are regulated on a complaint basis.

Figure 9.6.1: Milk River Benchmark Toll

Source: NEB

Financial

Milk River transportation revenues have increased due to toll increases.

Date modified:

2022-01-28