July 21, 2025 - Expansion Capacity Binding Open Season – NE-6 Area Delivery Service

Open Season Request Window Closes August 14, 2025, 4:00 p.m. Saskatchewan Time

TransGas Limited (TransGas) hereby announces an Expansion Capacity Binding Open Season for NE-6 Area Saskatchewan Delivery Service. TransGas is anticipating existing transmission Delivery Service capacity to be fully contracted by September 1, 2025, in the NE-6 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. When transmission capacity in NE-6 fully contracted, the area has a higher likelihood of curtailment of interruptible flows.  

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. The timing of all future-dated natural gas transportation contracts will be dependent on the project execution timelines for expansion work.  Capacity could be available as soon as November 1, 2026.

A new natural gas pipeline is currently being constructed to support the development of a power generation facility near Plunkett, Saskatchewan.  Upon completion, this pipeline will have surplus capacity to support demand growth in the NE-6 area, however odourization, filtration and pressure control facilities (hereinafter referred to as the Expansion Facilities) are required to interconnect with existing pipelines in the area in order to provide incremental capacity to NE-6 Customers.  TransGas will construct these Expansion Facilities to increase capacity in the NE-6 area if there are increased transportation contracts in the area.  Preliminary engineering assessments suggest that Expansion Facilities will add up to 30,000 GJ/day in capacity for the NE-6 zone. This Binding Open Season will ensure that Expansion Facilities are a) required to meet forecasted demand, and b) sized appropriately to meet future gas demand in the area.  Upon completion, the available capacity will vary depending on the geographic location of customer requests and incremental delivery demand in the area.  

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 30,000 GJ per day)
• Requested delivery pressure (psig)
• Requested in-service date (no earlier than November 1, 2026)
• 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, 2026.  
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. There are three potential and separate capital contributions that could be required in accordance with incremental capacity.  These capital contributions, and their applicability are described as follows:
   1. TransGas has identified that a minimum of 5,000 GJ/day of incremental contracts are required to substantiate the Expansion Facilities. Should a total volume less than 5,000 GJ/day of incremental contracts be requested by all Customers responding to this Binding Open Season, TransGas reserves the right to consider a combination of transportation contract(s) and customer contribution(s) to proceed with Expansion Facilities. The customer contribution required to backstop the construction of Expansion Facilities will be communicated after the closing date of the Open Season.  
      1. In accordance with item v. a) as noted above, should the total incremental capacity requested by customers be insufficient to justify the capital costs associated with the expansion, TransGas reserves the right to present bidders with a Construction Schedule of Service with an option to provide a supplementary Customer Contribution to facilitate the development of incremental capacity. Final awarding of the capacity will be contingent on securing a Construction Schedule of Service agreement between TransGas and the customer.
   2. Should the request be associated with a new Point of Delivery, or should existing customer-specific facilities at an established Point of Delivery (i.e. metering & regulator station assets) be incapable of meeting the requested delivery capacity, the TransGas System Design & Planning team will initiate the development of an estimate for what facility upgrades may be required, as well as the associated costs and delivery timelines.  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 (SOS) for customer specific facilities.
      1. In accordance with item v. b) as noted above, 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 facility estimates for both situations by September 4, 2025. Upon development of the estimate, TransGas will present the Customer with a Construction Schedule of Service outlining the deliverables and cost estimates associated with the required Customer-specific facilities. Final awarding of the capacity will be contingent on securing a Construction Schedule of Service agreement between TransGas and the customer.
   3. The supply pipeline currently under construction, providing incremental capacity to this area has been funded with Customer contributions and will not be a System Pipeline in accordance with the Section 1.3 4) II. b) 2.2) of the TransGas Comprehensive tariff until November 1, 2031.  Access to requested demand will require a customer contribution at a rate of $1,000 per GJ/Day ($1,000,000 per TJ/d) for incremental capacity for all customers who have not already contributed to the initial construction of pipeline facilities regardless of the incremental capacity requested by a Customer.  
6. 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 Expansion Facilities); events of Force Majeure; delays to facility in-service dates; or other delays outside of TransGas’ reasonable control.
7. Customers should consider their Alberta gas supply and transportation requirements and ensure they have sufficient commodity contracts with associated receipt capacity to meet their future needs. In these situations, TransGas will need to secure transportation with interconnecting pipelines.  

2. Assessment and Service Offering

Following the close of the Binding Open Season, TransGas will review the request forms received 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 August 14, 2025, 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, 2026, or a later specified date of choice.
• The request may not exceed 30,000 GJ/d. If more than 30,000 GJ/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. 

Any award of capacity shall be null and void without the execution of an associated Construction Schedule of Service.

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 August 18, 2025, regarding the amount of service allocated pursuant to their response to this Open Season, if any. Follow up from your Key Account Manager (KAM) will occur before TransGas enters 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 August 14, 2025.  

The completed Request Form must be returned via email no later than 4:00 p.m. Saskatchewan time on August 14, 2025, 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 additional questions, or would like to discuss the implications of this Open Season for your natural gas transportation and storage portfolio, please contact TransGas at: