City will benefit
Doug Ashbury
Northern News Services
Yellowknife (Jan 10/01) - The City of Yellowknife will indirectly tap into the economic benefits of a Mackenzie Valley pipeline.
TransCanada and Westcoast Energy are jointly looking at the proposed NWT pipeline and the Alaska Natural Gas Transmission System, or Foothills, route which would move North Slope gas from Alaska through the Yukon to market.
The benefits for Yellowknife range from TransCanada and Westcoast Energy setting up an office in the territorial capital to possibly tapping into natural gas flowing down the valley.
Brian McNulty, vice-president of Northern development for TransCanada Pipelines, spoke Monday at a City Hall meeting.
Yellowknife makes sense when it comes to office location.
As for the latter -- tapping into the gas -- that's much more complicated, he said.
If the proposed Mackenzie Valley pipeline follows the existing right of way from Norman Wells, building a feeder line to Yellowknife would be costly.
South of 60, McNulty said it costs about $1 million per kilometre of pipeline.
From the right of way to Yellowknife, it's about 400 kilometres. But there is the potential to use natural gas to generate electricity.
Electricity produced at a co-generation plant built near the pipeline could be transported by transmission lines to Yellowknife, McNulty said.
Yellowknife Mayor Gord Van Tighem said he expects companies looking at building a Mackenzie Valley pipeline will likely establish offices in Yellowknife.
Pipeline companies, like TransCanada, Westcoast and Enbridge have already contributed to the city's economy, Van Tighem said.
Representatives of these companies have been attending meetings and conferences in Yellowknife for at least two years.
"They've been active within the city."
