Peyto Exploration New Gas Plant

Peyto’s south Brazeau area, called Chambers, has prompted the Company to design a new, sweet, gas processing plant for this area. Currently, production travels 36 km north through various pipelines before being processed at the Peyto Brazeau gas plant which is less hydraulically and environmentally efficient. This new Chambers gas plant is designed for 50 MMcf/d of gas processing and 2,000 bbls/d of condensate stabilization, with expansion capability to 100 MMcf/d and 4,000 bbls/d. Most of the equipment for the new plant will be sourced from existing surplus inventory with some minor equipment being repurposed from existing gas plants.

The location of the new gas plant will be directly adjacent to NGTL’s mainline pipeline system. Peyto envisions this new, state of the art facility will include the latest low emissions technology, employing compressor vent gas capture and BTEX vapour recovery units, waste heat recovery, and zero emissions controllers and instrumentation.

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The existing gathering system will interconnect both the Brazeau and Chambers gas plants providing additional flexibility. Construction of the new plant will begin in the fall of 2021 with commissioning in Q1 2022. Peyto estimates 140 temporary, and 5 full time jobs will be created with this investment.

The Spirit River Formation in Alberta’s Deep Basin has witnessed steady production growth since 2010 and currently accounts for just under 15% of Canada’s total natural gas supply, with over 2.1 billion cubic feet (bcf) per day of gas production. Although the Montney shale continues to garner the most widespread attention among unconventional Canadian gas plays, Spirit River—which consists of several Lower Cretaceous tight sandstone subunits—exhibits competitive recovery rates and economics.

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