The much-anticipated Trans Mountain pipeline will begin filling with crude in February, marking a key step toward start-up. Canadian heavy crude prices jumped on the news. 

While the process to fill a part of the legacy line will begin in February, the bulk of the 890,000 barrel-a-day line will be filled in March and last about 2-3 weeks, Jason Balasch, senior director of business development at the Canadian government-owned company, said in Houston.  Linefill is typically the first stage of startup and includes moving the first batches of oil from shippers.

Heavy Western Canadian Select’s discount to West Texas Intermediate narrowed to the smallest since August after Balasch’s remarks. 

The start-up of the expansion, which is 98 per cent complete and will triple the pipeline’s capacity, is expected to reshape oil flows across the Americas, spur exports to Asia and likely ramp up production of Canadian oil. Traders are closely watching progress on the pipeline, which is running years behind schedule.

The first tanker to carry Trans Mountain oil is set to load in Vancouver in April, Balasch said. Shippers are expected to provide the preliminary loading dates for the new line by Friday. The final nomination process should be completed by March 15.

Since the Trans Mountain expansion was conceived more than a decade ago, its costs have quadrupled to nearly $31 billion. Prime Minister Justin Trudeau’s government bought the pipeline in 2018 to save the expansion from cancellation amid opposition in British Columbia.

Trans Mountain avoided a possible multi-year delay earlier this month when regulators approved a last-minute application to use smaller pipe in a section of the line where construction challenges emerged.