June 28, 2023 - Expansion Capacity Binding Open Season for Yorkton Area Delivery Service

Open Season Request Window Closes July 18, 2023, 4:00 p.m. Saskatchewan Time 

TransGas Limited (TransGas) hereby announces an Expansion Capacity Binding Open Season for Yorkton Area Saskatchewan Delivery Service. TransGas is anticipating existing transmission Delivery Service capacity to be fully contracted by October 1, 2024, in the Yorkton Area, as shown on the TransGas map in Appendix A. A list of active TransGas meters in the Open Season area can also be found in Appendix A.

This Binding Open Season is being offered to obtain commitments from both existing and new customers for firm delivery service in the Open Season area tied to expansion capacity. By understanding demand for long term capacity, TransGas is better able to plan and build infrastructure to meet future customer requirements. TransGas has plans to construct system facilities which will increase capacity in the Yorkton area by up to 14 TJ/day. Available capacity will vary depending on the geographic location of customer requests for incremental delivery demand.

This offer is being conducted pursuant to the terms and conditions contained within the TransGas Tariff and the terms and conditions set out herein. In the event of a conflict between this Binding Open Season offering and the TransGas Tariff, the provisions of this Binding Open Season offering shall prevail.  

Interested customers are asked to submit their binding firm delivery commitments as outlined herein, and TransGas will determine and communicate next steps to provide service.  

Binding Open Season Process:

1) Request for Firm Delivery Service Form 

Each customer participating in the Expansion Capacity Binding Open Season that wishes to commit to firm delivery service must complete and return the Request for Firm Delivery Service Form.  This form shall specify the following, as required therein:

• TransGas meter code (existing customer), or land location (new customer) 
• Requested gas delivery demand (maximum 14,000 GJ per day)
• Requested delivery pressure (psig)
• Requested in-service date (no earlier than November 1, 2025)
• Requested firm Delivery Transportation service term – minimum five-year term

Customers should consider the following in their response:

1. The minimum contractual commitment required to qualify for this long-term firm Expansion Capacity Binding Open Season is a five-year term for Delivery Transportation service.  
2. Customer to specify a date as early as November 1, 2025, and no later than November 1, 2027.  
3. Requests are irrevocable and immediately binding on the Customer upon the close of this Binding Open Season. 
4. TransGas does not guarantee it will, nor is it obligated to, satisfy all requests for new capacity, or that requested capacity will align with the requested start date(s).
5. Incremental capacity will be placed in service when the associated system facilities are placed in service.  While an anticipated in-service date will be made available at the time capacity is awarded, in-service dates may be delayed due to several reasons including, but not limited to: regulatory approval delays; construction delays (interconnecting pipeline or TransGas facilities); events of Force Majeure; delays to facility in-service dates; or other delays outside of TransGas’ reasonable control. 
6. Additional conditions may be required on the Delivery Transportation service contract related to in-service of the system expansion and/or tied to a Construction Schedule of Service (CSOS) for customer specific facilities.
7. Customers should consider their Alberta gas supply requirements and ensure they have sufficient commodity contracts with associated receipt capacity to meet their future needs. In these situations, TransGas must also secure transportation with interconnecting pipelines.  

2) Assessment and Service Offering

Following the close of the Open Season, TransGas will review the received request forms and will assess the feasibility of an expansion, together with existing delivery service quantity allocations, as well as the timelines required to install the system expansion and/or customer specific facilities.  

Expansion Capacity Binding Open Season requests will be considered as official Firm Delivery Transportation service requests. All responses to this Open Season will receive the same priority in accordance with the terms hereof. Submissions received after July 18, 2023, at 4:00 pm will not be evaluated with this Open Season process, any associated demand requests received past the deadline will be assessed on a first come first serve (FCFS) basis after all Open Season responses have been fulfilled.

The requests received will be evaluated and awarded based on the following:

• Minimum five-year term.
• The earliest effective date of November 1, 2025, or a later specified date of choice, no later than November 1, 2027.
• The request may not exceed 14 TJ/d. If more than 14 TJ/d is requested, each request will be prorated by the ratio of the capacity available divided by the total requested capacity for the total term.  If a Customer’s prorated allocation is less than their minimum request, that allocation will be zero.
• Earlier start dates and term length will be given higher priority. Same start dates and terms may be prorated depending on the amount of capacity available. 
• Queue deposit will be waived. 

If service is requested for a new location that does not currently receive gas delivery service (i.e.: new land location in lieu of existing meter code), TransGas will be in contact to discuss options for new future customer specific facilities. In addition, if this is an existing facility, TransGas will assess and determine if additional, or modifications to existing, customer specific facilities will be required to meet Customers’ needs. If applicable, TransGas will contact Customers to start discussions for customer specific cost estimates for both situations by August 1, 2023.  

Customers shall be obligated to accept volume awards equal to or greater than their minimum requested capacity, and equal to or less than their maximum requested capacity, as indicated on their Request Form. 

TransGas shall notify interested parties by July 20, 2023, regarding the amount of service allocated pursuant to their response to this Open Season, if any. TransGas will enter the successful delivery transportation contract into the TransGas Electronic Business System (MyTransGas) on the customers’ behalf.

Please note that TransGas will not be processing any Requests for Service (RFS) for incremental firm capacity for meters within the Open Season Area, as show in Appendix A, until after the Binding Open Season bids have been awarded.  

The Open Season commences immediately and will close at 4:00 p.m. Saskatchewan time on July 18, 2023.  

The completed Request Form must be returned via email no later than 4:00 p.m. Saskatchewan time on July 18, 2023, to the following email address.  Customers may submit requests for more than one delivery service and/or location.  

E-mail:     @email
CC:         @email; @email

TransGas will acknowledge the successful receipt of your Request Form.

If you have any questions or would like to discuss the implications of this Service offering for your natural gas transportation and storage portfolio, please contact TransGas at: