Pembina Pipeline Corp. (NYSE: PBA) announced Sept. 2 it entered agreements to acquire the Vantage Pipeline system and Mistral Midstream Inc.’s interest in the Saskatchewan Ethane Extraction Plant (SEEP) for about $650 million from entities affiliated with Riverstone Holdings LLC.

The Vantage Pipeline system is a recently built high-vapor pressure NGL pipeline about 435 miles long with a transportation capacity of 40,000 barrels per day (bbl/d). The system originates from a large-scale gas plant in Tioga, N.D., and extends northwest through Saskatchewan, terminating near Empress, Alberta, where it connects to the Alberta Ethane Gathering System Pipeline.

Pembina, based in Calgary, is also acquiring SEEP as part of the transaction.

SEEP is in the development stage. It will be a 60 million cubic feet per day deep-cut gas processing facility, located to serve the southeast Saskatchewan Bakken region.

Its pipeline infrastructure includes a 65-mile long, four-inch ethane pipeline and a 46-mile gas gathering pipeline, both of which are under construction. The facility is underpinned by a long-term ethane sales agreement and a long-term, fee-for-service processing agreement.

SEEP is expected to produce about 4,500 bbl/d of ethane and will connect to Vantage via a pipeline lateral. Its expected in-service date is in mid-2015.