A new service agreement worth almost $300 million has been reached by Chevron and Pembina. It relates to development in the Kaybob region of the Duvernay.
Once finishes, a new condensate stabilization facility that can handle 30,000 barrels a day and a 100 million cubic feet per day gas processing facility would be operations.
Spokesperson for Chevron Canada Leif Sollid on the potential near Fox Creek.
Chevron says the announcement follows three years of appraisals in the region.
Pembina is aiming for a mid to late 2019 start date. The agreement is a 20 year deal.