Pembina is pleased to announce that its Board of Directors has approved the development of the Company's previously proposed liquefied petroleum gas ("LPG") export terminal (the "Prince Rupert Terminal" or the "Project").

The Prince Rupert Terminal will be located on Watson Island, British Columbia on lands leased from a wholly-owned subsidiary of the City of Prince Rupert (the "City"). Through site assessments and engagement with key stakeholders, the Company has confirmed Watson Island as the ideal location for the Project to be developed and has executed definitive commercial agreements with the City.

"Since our initial announcement of potentially developing the Prince Rupert Terminal, we've worked diligently with municipal and other stakeholders and are now able to move forward with our final investment decision," said Stuart Taylor, Pembina's Senior Vice President, NGL & Natural Gas Facilities.

The Prince Rupert Terminal is expected to have a permitted capacity of approximately 25,000 barrels per day of LPG and is expected to be in service mid-2020, subject to Pembina receiving necessary regulatory and environmental approvals.

"We are very excited to progress the Prince Rupert Terminal and continue working with the local communities, stakeholders, First Nations and governments in the area," continued Mr. Taylor. "This Project will provide significant economic benefits to the Prince Rupert area including 150 to 200 construction positions and, once operational, it will create between 20 to 30 full-time positions in addition to generating annual property tax revenue and lease payments."

"We are thrilled to work with Pembina to finally get Watson Island back in business," commented Lee Brain, the Mayor of Prince Rupert. "What was once the story of economic downfall and hardship is now the story of prosperity and renewal. Getting Watson Island back on the tax roll has been the key priority of this council, and receiving this final investment decision from Pembina will provide us with additional lease and tax revenues to support community services and infrastructure."

Pembina has completed a class three estimate for the Project and due to minor scope changes, dock maintenance and additional site preparation the expected capital cost has been adjusted to $250 to $270 million. LPG supply for the Prince Rupert Terminal will primarily be sourced from Pembina's Redwater fractionation complex.    

"Advancing the Prince Rupert Terminal, alongside continuing to progress our proposed integrated propylene and polypropylene production facility, is a meaningful step towards our strategy of providing new market solutions for our customers – helping to add incremental value to western Canadian hydrocarbons and ultimately increasing producer netbacks," concluded Mr. Taylor.