IN THE NEWS / IPL Energy Buys 22.8 Per Cent Stake In Chicago Pipe Line
IPL Energy Inc. has bought nearly 23 per cent of a U.S. energy pipeline, the Chicap Pipe Line Co., for $34 million.
The deal, announced Wednesday, involved Clark Refining and Marketing Inc. of St. Louis, a gas bar operator in the U.S. Midwest states.
The 330-kilometre Chicap line, with a capacity of about 400,000 barrels a day, transports crude oil bound for Chicago from another system that runs from the U.S. Gulf Coast to Illinois.
Chicap parallels the Mustang Pipe Line, which transports crude oil from the Chicago area on the Lakehead Pipe Line system. IPL Energy is involved in both the Mustand and Lakehead systems.
Calgary-based IPL Energy owns the largest oil and liquids transmission pipeline in Canada as well as Consumers Gas Co., the biggest natural gas utility.
IPL said the deal fits the company's strategy of expanding its investment in North America's energy delivery infrastructure.
"Our investment in the Chicap system reinforces several strategic opportunities we see in the energy delivery arena, and geographically diversifies our pipeline asset base to include participation in the Gulf Coast-to-Chicago corridor," said Patrick Daniel, IPL's president of energy delivery. |
