TC Energy to sell stake in Northern Courier pipeline for $1.15B

TC Energy Corp. has signed a deal to sell an 85 per cent stake in its Northern Courier Pipeline to Alberta Investment Management Corp. for roughly $1.15 billion.

The company formerly known as TransCanada says the 90-kilometre pipeline transports bitumen and diluent between the Fort Hills mine site in northern Alberta and Suncor Energy's terminal north of Fort McMurray, Alta.

TC Energy will retain a 15 per cent stake and remain the operator of the pipeline.

The transaction is expected to close in the third quarter.

TC Energy chief executive Russ Girling says the sale helps the company's efforts to fund its capital program.

The company recently sold its Coolidge Generating Station in Arizona to Salt River Project AgriculturalImprovement and Power District.