Marketing Strategy

Connecting to Markets

MEG Energy has an active role in connecting our growing production to market demand through a Transportation Services Agreement on the Access Pipeline.

Access Pipeline connects MEG’s Christina Lake Project to an upgrading, refining and transportation hub in the Edmonton, Alberta area. From the Edmonton hub, we are able to connect our northern Alberta production base to current and emerging markets in North America and beyond.

marketing_access_diagramAt the same time as diluted bitumen is moved to customers on the Access Pipeline, a smaller pipe running in the opposite direction from the Edmonton hub to our Christina Lake facility helps ensure a reliable supply of diluent for blending into our products.

Building on this flexible “hub and spoke” strategy, the 900,000 barrel Stonefell storage facility is strategically located near the southern end of the Access Pipeline and is connected to a third party rail‐loading terminal near Bruderheim, Alberta. Stonefell adds significant value by:

  • Allowing MEG to blend products to improve the quality and price realization of our exports
  • Mitigating the impacts of periodic pipeline restrictions, which can temporarily distort market prices
  • Providing the opportunity to acquire and store diluent when market conditions are favourable

Together, the flexibility and connections to multiple markets provided by Access and Stonefell ensure our future transportation and storage needs are met, and improve our ability to optimize the value of every barrel MEG produces.