Northern Explorations has recently been advised of key developments regarding pipeline construction activities at its Southern Alberta Gas Project.

The Company has been informed by the operator that they are now in receipt of the required environmental permits from both the Province and local regulatory authorities thereby allowing for the commencement of pipeline construction.

On January 14th, Norex announced that the Company will acquire petroleum related assets in Alberta, Canada that include a 49% interest in a natural gas processing and compression facility; natural gas pipeline, additional infrastructure and certain lands associated to the infrastructure. This project has been found to have the potential to contain over 8 BCF of natural gas. The Company also has the option to obtain the remaining 51% interest from the owner over a 2 year period.

The most significant element to the acquisition and overall project development entails the gas processing plant which was originally constructed in 2004. The plant is capable of processing sour gas by a regenerative solution, as well as sweet gas compression, gas metering and water storage. The facility is a strategically key component to the downstream production of gas from the pipeline.

Norex also acquires a network of 5, six-inch natural gas pipelines that connect to a major trunk line operated by Encana and that extend towards three gas wells ready for tie-in. The final permitting application process and licensing of the plant will be completed shortly, thereby allowing Norex to put the project on line and to commence production. Further details will be announced as they become available.

Tags: Northern Explorations