Siemens to Supply Pumping Solution for TransCanada’s Keystone Expansion in North America

The expansion will complement the overall Keystone pipeline system, with the first phase expected to begin delivering crude oil to the U.S. Midwest in mid-2010. The order volume for Siemens is more than USD180 million.

“This order is an important milestone in Siemens’ evolution from a product supplier to a solutions provider and systems integrator,” said Tom Blades, CEO of the Oil & Gas Division of Siemens Energy. “Being able to offer technically proven, standardized solutions from a single source allows us to support our customers in reducing risk and increasing delivery certainty.” Siemens will supply all of the Keystone expansion pumping stations required by TransCanada.

The Keystone expansion recently achieved a significant milestone by receiving regulatory approval for the Canadian portion of the project. This expansion will be the first pipeline to directly connect a growing and reliable supply of Canadian crude oil to the largest refining market in North America. Shippers have committed crude oil amounting to 75 percent of the expansion capacity for an average term of 17 years. This reflects the value the project has to the overall market.

Siemens will supply pumps and electrical equipment for 38 pumping stations, which includes 104 pumps and motors, as well as variable-frequency drives, E-houses with medium- and low-voltage switchgear, and unit control systems for each pumping station. Furthermore, Siemens will be responsible for system integration of the components and will also supply four high-voltage substations.

The Siemens pipeline portfolio encompasses compressors with electric or gas turbine drives, transformers, substations, breakers and automation, communications, supervisory and control systems as well as safety and security equipment. These solutions contribute toward meeting customer requirements such as pipeline operational reliability, environmental, safety and efficiency standards.