A total of CA$195 million in new capital projects at Veresen Midstream was sanctioned, Veresen Inc. reported Dec. 28. That amount has CA$93 million net to Veresen.

The Cutbank Ridge Partnership sanctioned the South Central Liquids Hub and the Tower Liquids Hub projects, both governed by the Dawson Midstream Service Agreement, which is in place for the next 28 years.

The South Central Liquids Hub project will allow the area’s current gathering system to handle future capacity. South Central Liquids will likely be in service by the end of second-quarter 2017, the press release said.

The Tower Liquids Hub project, which will deliver NGL to a third-party system, will handle and store NGL produced at the Sunrise, Tower and Saturn Phase II processing facilities. It will likely be in service in third-quarter 2017. Part of the Tower Liquids Hub will include capacity to handle third-party NGL that could be either trucked in or connected directly by a future pipeline.

Don Althoff, president and CEO, said Veresen now has more than CA$1.4 billion of projects under construction.

Veresen Inc. is based in Calgary, Alberta.