Alberta
With a boost of up to $200 million from the Province, Inter Pipeline Ltd. investing $600 million in new petrochemical plant east of Edmonton
Premier Notley announces private investment in a new petrochemical upgrading facility alongside David Chappell (r), Patrick Bergen and Pyramid Prefab Piping staff.
From the Province of Alberta
Made-in-Alberta plan attracts new jobs, investment
Alberta is taking a significant step forward on a more diversified economy with a project that supports hundreds of jobs and adds more value to our energy resources.
If the plan is finalized, Inter Pipeline Ltd. would invest about $600 million in a new petrochemical upgrading facility that would produce more valuable consumer products derived from propane, including acrylic acid that is used in many everyday consumer products. This major private investment is unlocked by support from Premier Rachel Notley’s Made-in-Alberta energy diversification strategy.
The project would build on the company’s supply and knowledge of propylene, a product it already produces at the company’s other petrochemical facilities east of Edmonton. Construction would create about 600 jobs with another 50 long-term positions supporting the local economy once the facility is fully up and running.
“For decades, Albertans settled for less while new jobs and investment went south of the border. So we’re grabbing the bull by the horns, fighting for a Made-in-Alberta plan that represents the single largest energy diversification effort since the days of Peter Lougheed. We’re proud to support upgrading projects like Inter Pipeline’s because they mean more good jobs and top dollar for the energy resources that belong to all Albertans.”
Inter Pipeline’s supply of propylene, a gas that results from adding value to raw propane, creates the opportunity to further leverage Alberta’s natural resource strengths and extend the value chain. By producing acrylic acid used in things like adhesives, floor polishes and paints, this project increases the likelihood of attracting investments in more manufacturing facilities in the future.
“Alberta’s abundance of natural resources has positioned Inter Pipeline to invest in opportunities like this that build on our strengths to extend the value chain and make products that are in demand around the world. We want to commend this government for fostering the environment for companies like ours to grow and create jobs, while competitively positioning our business in the world market.”
The announcement was made at Pyramid Prefab Piping, one of the hundreds of companies across the province benefiting from the Made-in-Alberta strategy. As a manufacturer that employs about 45 people in Calgary, Pyramid was contracted to build key components for Inter Pipeline’s project already under construction.
“We’re pleased to see the government’s vision for the future is focused on jobs and diversification, which will lead to more work for companies like ours to build the components needed for energy upgrading projects. This growth means we can put even more skilled tradespeople to work in the Calgary region and contribute even more to the oil and gas sector.”
If finalized by Inter Pipeline, the private investment would be unlocked by provincial support of up to $70 million in future royalty credits under the Petrochemicals Diversification Program, which was first developed in early 2016.
Quick facts
- Inter Pipeline’s acrylic acid and propylene derivatives facility would be in Alberta’s Industrial Heartland, northeast of Edmonton. Construction is expected to begin in 2021.
- The facility would convert 60,000 tonnes per year of propylene and produce 80,000 tonnes per year of propylene derivatives, including acrylic acid, when operational.
- Acrylic acid is a value-added product used to make coatings, adhesives, diapers, floor polishes and paints.
- Roughly 50 skilled, local permanent jobs and 600 skilled trade construction jobs would be created.
- Inter Pipeline has already been approved to receive up to $200 million in future royalty credits from the first round of the Petrochemicals Diversification Program for the construction its $3.5-billion Heartland Petrochemical Complex.
Background
Made-in-Alberta energy strategy
- Premier Notley’s government is investing $3 billion to support energy diversification that creates jobs and adds value to our resources here at home.
- The focus is on two key areas: partial upgrading of our bitumen and petrochemical processing that adds value to natural gas and natural gas liquids.
- Overall, this commitment is expected to attract more than $25 billion in private-sector investment to Alberta and create more than 20,000 jobs.
Petrochemical upgrading
- Support for the Inter Pipeline facility is provided under the petrochemical portion of the Made-in-Alberta strategy.
- Two projects – owned by the Canada-Kuwait Petrochemical Corporation and Inter Pipeline Ltd. – were selected under the first round of this program, which was announced in 2016. The projects combined for $8 billion in private investment, creating more than 5,000 jobs.
- The government announced a second round of support for petrochemical upgrading in 2018.
- Nauticol’s methanol facility was previously selected under the second round of this program. The entire project is a $2-billion private investment in a plant near Grande Prairie, creating roughly 3,000 direct and indirect jobs.
- Albertans and Canadians use dozens of products every day that are based in part on petrochemicals like those from Alberta’s growing value-added industry including:
- polyester fabric couches, HD televisions, phones coffeemakers and computers
- car tires, engine hoses, gas, oil, radio components and seats
- desks, chairs, computers, carpets, cellphones and other office supplies
Partial upgrading of bitumen
- $1 billion in grants and loan guarantees to encourage companies to invest in new or expanded bitumen-upgrading facilities.
- Partial upgrading reduces the thickness of oil sands bitumen so it can flow through pipelines more easily, without having to be blended with diluent or as much diluent, a thinning agent. Benefits include:
- increased prices for our resources before shipping
- up to 30 per cent more capacity on existing pipelines
- more world refineries capable of processing our product
- cost savings on diluent for industry
- fewer emissions by removing high carbon content
Energy diversification timeline
- January 2016 – Royalty Review Advisory Panel recommended more value-add within the province, including partial upgrading
- February 2016 – Petrochemicals Diversification Program (PDP) introduced
- October 2016 – Energy Diversification Advisory Committee (EDAC) formed
- December 2016 – First PDP projects awarded
- December 2017 – Inter Pipeline finalized investment in petrochemical project
- February 2018 – EDAC reported back, including recommendation of partial upgrading, more PDP and additional support for petrochemical feedstock infrastructure
- March 2018 – Government launched programs through the Energy Diversification Act
- Fall 2018 – oil price differential hit crisis point. In response, government took several actions:
- Temporary limit on oil production
- Doubled support for PDP
- Began crude-by-rail negotiations
- Appointed LNG Investment Team
- Request for industry interest in building refining capacity
- January 2019 – Government announced letter of intent for first partial upgrading project awarded (Value Creation Inc.)
- February 2019 – Canada-Kuwait Petrochemical Corporation finalized investment in petrochemical project
- February 2019 – Premier announced crude-by-rail agreements
- February 2019 – Nauticol awarded first project under second round of PDP
“If Ottawa had it’s way Albertans would be left to freeze in the dark”
The ineffective federal net-zero electricity regulations will not reduce emissions or benefit Albertans but will increase costs and lead to supply shortages.
The risk of power outages during a hot summer or the depths of harsh winter cold snaps, are not unrealistic outcomes if these regulations are implemented. According to the Alberta Electric System Operator’s analysis, the regulations in question would make Alberta’s electricity system more than 100 times less reliable than the province’s supply adequacy standard. Albertans expect their electricity to remain affordable and reliable, but implementation of these regulations could increase costs by a staggering 35 per cent.
Canada’s constitution is clear. Provinces have exclusive jurisdiction over the development, conservation and management of sites and facilities in the province for the generation and production of electrical energy. That is why Alberta’s government is referring the constitutionality of the federal government’s recent net-zero electricity regulations to the Court of Appeal of Alberta.
“The federal government refused to work collaboratively or listen to Canadians while developing these regulations. The results are ineffective, unachievable and irresponsible, and place Albertans’ livelihoods – and more importantly, lives – at significant risk. Our government will not accept unconstitutional net-zero regulations that leave Albertans vulnerable to blackouts in the middle of summer and winter when they need electricity the most.”
“The introduction of the Clean Electricity Regulations in Alberta by the federal government is another example of dangerous federal overreach. These regulations will create unpredictable power outages in the months when Albertans need reliable energy the most. They will also cause power prices to soar in Alberta, which will hit our vulnerable the hardest.”
Finalized in December 2024, the federal electricity regulations impose strict carbon limits on fossil fuel power, in an attempt to force a net-zero grid, an unachievable target given current technology and infrastructure. The reliance on unproven technologies makes it almost impossible to operate natural gas plants without costly upgrades, threatening investment, grid reliability, and Alberta’s energy security.
“Ottawa’s electricity regulations will leave Albertans in the dark. They aren’t about reducing emissions – they are unconstitutional, ideological activist policies based on standards that can’t be met and technology that doesn’t exist. It will drive away investment and punish businesses, provinces and families for using natural gas for reliable, dispatchable power. We will not put families at risk from safety and affordability impacts – rationing power during the coldest days of the year – and we will continue to stand up for Albertans.”
“Albertans depend on electricity to provide for their families, power their businesses and pursue their dreams. The federal government’s Clean Electricity Regulations threaten both the affordability and reliability of our power grid, and we will not stand by as these regulations put the well-being of Albertans at risk.”
Related information
- Conference Board of Canada socio-economic Impacts of Canada’s 2030 Emissions Reduction Plan – (April 2025)
- Alberta Electric System Operator’s position on Canadian Energy Regulations
Oh, Canada
We find it endlessly fascinating that most Canadians believe they live in a representative democracy, where aspiring candidates engage in authentic politicking to earn their place in office. So accustomed are Canada’s power brokers to getting their way, they rarely bother to cover their tracks. A careful reading of the notoriously pliant Canadian press makes anticipating future events in the country surprisingly straightforward.
Back in December, when Pierre Poilievre was given better than 90% odds of replacing Prime Minister Justin Trudeau—and Mark Carney was still just an uncharismatic banker few had heard of—we engaged in some not-so-speculative dot-connecting and correctly predicted Carney’s rise to the top spot. Our interest was driven by the notoriously rocky relationship between Ottawa and the Province of Alberta, home to one of the world’s largest hydrocarbon reserves, and how Carney’s rise might be a catalyst for resetting Canada’s energy trajectory. In a follow-up article titled “The Fix Is In,” we laid out a few more predictions:
“Here’s how the play is likely to unfold in the weeks and months ahead: Carney will be elected Prime Minister on April 28 by a comfortable margin; [Alberta Premier Danielle] Smith will trigger a constitutional crisis, providing cover for Carney to strike a grand bargain that finally resolves longstanding tensions between the provinces and Ottawa; and large infrastructure permitting reform will fall into place. Protests against these developments will be surprisingly muted, and those who do take to the streets will be largely ignored by the media. The entire effort will be wrapped in a thicket of patriotism, with Trump portrayed as a threat even greater than climate change itself. References to carbon emissions will slowly fade…
In parallel, we expect Trump and Carney to swiftly strike a favorable deal on tariffs, padding the latter’s bona fides just as his political capital will be most needed.”
The votes have barely been counted, yet the next moves are already unfolding…
“Alberta Premier Danielle Smith says she’ll make it easier for citizens to initiate a referendum on the province’s future in Canada, after warning that a Liberal win in Monday’s election could spur a groundswell of support for Alberta separatism. Smith said on Tuesday that a newly tabled elections bill will give everyday Albertans a bigger say in the province’s affairs.
‘(We’re giving) Albertans more ways to be directly involved in democracy, and to have their say on issues that matter to them,’ Smith told reporters in Edmonton.
If passed, the new law would dramatically lower the number of signatures needed to put a citizen-proposed constitutional referendum question on the ballot, setting a new threshold of 10 per cent of general election turnout — or just over 175,000, based on Alberta’s last provincial election in 2023.”
“US President Donald Trump said on Wednesday that Canadian Prime Minister Mark Carney is looking to make a trade deal and will visit the White House within the next week. Trump said he congratulated Carney on his election victory when the Canadian leader called on Tuesday.
‘He called me up yesterday – he said let’s make a deal,’ Trump told reporters at the White House after a televised Cabinet meeting.”
Remember where you read it first.
 |
CBC retracts false claims about residential schools after accusing Rebel News of ‘misinformation’
Mark Carney Wants You to Forget He Clearly Opposes the Development and Export of Canada’s Natural Resources
Net zero’s cost-benefit ratio is CRAZY high
Carney’s Hidden Climate Finance Agenda
-
Banks2 days agoTD Bank Account Closures Expose Chinese Hybrid Warfare Threat
-
2025 Federal Election2 days agoPost election…the chips fell where they fell
-
Alberta2 days agoNew Alberta Election Act bans electronic vote counting machines, lowers threshold for recalls and petitions
-
Alberta2 days agoHours after Liberal election win, Alberta Prosperity Project drumming up interest in referendum
-
espionage1 day agoLongtime Liberal MP Warns of Existential Threat to Canada, Suggests Trump’s ’51st State’ Jibes Boosted Carney
-
Alberta2 days agoPremier Danielle Smith hints Alberta may begin ‘path’ toward greater autonomy after Mark Carney’s win
-
2025 Federal Election1 day agoNDP Floor Crossers May Give Carney A Majority
-
COVID-192 days agoCanada’s health department warns COVID vaccine injury payouts to exceed $75 million budget