Alberta’s Industrial Heartland and Strathcona Industrial Association
For a list of provincial projects, visit Alberta Major Projects
1. Inter Pipeline
Inter Pipeline has proposed to build a Propane Dehydrogenation (PDH) facility in Strathcona County to convert low-cost, locally sourced propane into high value polymer grade propylene, an important petrochemical product which is primarily used to create a variety of recyclable plastics, fibers and chemicals. The $1.85 billion facility would be built in Strathcona County and would initially produce approximately 525,000 tonnes per year of polymer grade propylene.
Inter Pipeline was awarded $200 million in royalty credits from the Government of Alberta’s Petrochemical Diversification Program, the maximum amount any one project is eligible to receive under this program, in support of its PDH facility.
Inter Pipeline is also assessing the commercial viability of constructing an additional $1.3 billion processing facility that converts propylene into polypropylene. Subject to securing appropriate long term, fee-based sales contracts for the production, Inter Pipeline anticipates making final investment decisions on the PDH and polypropylene facilities by mid-2017. Both plants are expected to be operational by mid-2021.
2. Air Products
A new Canadian plant has been built under a long-term agreement for Air Products to supply Shell Scotford with hydrogen and steam and to supply hydrogen to North West Redwater Partnership Sturgeon Refinery.
The facility will produce 150 million standard cubic feet per day (MMSCFD) of hydrogen.
Project investment is expected at $300 million and was commissioned in fall 2016.
3. MEG Energy
MEG Energy owns the Stonefell Terminal in the Heartland Industrial development area of Strathcona County which is connects to the Access Pipelines System which transports oil from their Christina Lake production project and to the Bruderheim Pipelines system which connects to the Bruderheim Energy Terminal rail facility.
MEG also owns a 1,200 acre parcel of land in the Heartland Industrial development area of Strathcona County. MEG has disclosed plans to develop commercial processing facilities on this land including a Diluent Removal Facility (DRF) and partial upgrading facilities HI-Q®. MEG also owns a smaller parcel of land in the Industrial development area of Lamont County, adjacent to the Bruderheim Energy Rail Terminal where they are developing the HI-Q® demonstration facilities to advance the HI-Q® technology.
4. ATCO Energy Solutions
The ATCO Heartland Energy Centre encompasses more than 600 acres of continuous land in Strathcona County.
ATCO Energy Solutions and Petrogas Energy Corp. recently announced the development of salt caverns at the ATCO Energy Centre, with the capacity to store approximately 400,000 cubic metres of propane, butane and ethylene.
ATCO Energy Solutions owns a common multi-user water system connected to the North Saskatchewan River in Alberta’s Industrial Heartland that provides crucial water services to four industrial facilities in the area. The company has several projects currently under way related to the industrial water system, including: river intake and pump station improvements; new water pipelines to connect additional industrial sites; central water clarification facilities; and waste water management solutions.
5. ATCO Power
The Heartland Generating Station is a proposed 400 megawatt (MW) natural gas fired power generation station.
The project will produce enough electricity for approximately 400,000 homes in Alberta. The Heartland Generating Station will create 300-400 full-time jobs during the three-year construction phase and 35 or more full-time jobs for operating the plant on an ongoing basis.
Plans for the ATCO Heartland Generating Station Phases 1, which will produce 400 megawatts – are subject to economics.
Grand Rapids Pipeline Project will connect crude oil resources from the west Athabasca oil sands area to the heartland and Edmonton areas to meet growing energy demands.
470 km’s dual pipeline system to transport up to 900,000 barrels per day of crude and 330,000 barrels per day of diluent.
Construction is progressing on the 20-inch pipeline from northern Alberta to Edmonton, Alberta and a 36-inch pipeline between Edmonton and Fort Saskatchewan, Alberta. They anticipate beginning transportation services in 2017. However, in response to slower than expected market growth, Grand Rapids is delaying construction completion of the 36-inch pipeline between Fort Saskatchewan and Fort McMurray, Alberta. The AER and stakeholders will be updated on plans to complete construction.
The TC Terminals Project will provide tank storage of up to 1.9 million barrels of crude oil and will facilitate the efficient movement of crude oil from Northern Alberta and help provide a connection to access markets elsewhere in North America. The TC Terminals Project will be constructed in alignment with the in-service date of the Heartland Pipeline.
The Heartland Pipeline Project will aid in the transport of crude oil from Alberta’s Industrial Heartland to the Hardisty
The 36-inch pipeline will transport approximately 600,000 barrels per day with potential increase of up to 900,000 barrels per day, while the terminal is expected to have storage capacity for up to 1.9 million barrels of crude oil.
As they have progressed through the regulatory process and advanced Project planning, they have adjusted their construction schedule to respond to current market conditions and customers’ needs. Heartland continues to work with its long–term committed shippers to determine appropriate timing for the construction of the Project. However, no expected construction in 2016 and another update in 2017 to come.
TransCanada has been making significant investments in oil transportation infrastructure, with a focus on Alberta’s Industrial Heartland as a key oil transportation hub. The Heartland area is also an important and long-standing hub for Canada’s two national railways, Canadian National Railway (CN) and Canadian Pacific Railway (CP).
TransCanada has acquired lands in Strathcona County with access to existing CN and CP rail lines. The lands are approximately 2.5 km’s east of TransCanada’s TC Terminals Project, a crude oil batch accumulation and storage facility.
In May 2016, Pembina Pipeline Corporation commenced construction of the Canadian Diluent Hub (CDH), a large-scale condensate and diluent terminal at
its Heartland Terminal site near Strathcona County.
The CDH development will include 500,000 barrels of above ground storage, multiple inbound and outbound pipeline connections, plus associated pumping and metering facilities. CDH is designed to augment Pembina’s existing diluent handling facilities in the Fort Saskatchewan area.
Keyera has purchased all Sasol land holdings and any information regarding its use will be shared in future updates.
Quest Carbon Capture and Storage (CCS) Project is a joint venture of Shell, Chevron, Marathon, Government of Alberta and the Government of Canada.
Now operational, this $1.35 billion project will capture, transport and store (permanently underground) over one million tonnes of CO2 a year from Shell’s Scotford Upgrader in Strathcona County – the equivalent to taking 175,000 North American cars off the road each year. Once the CO2 is captured from the three hydrogen units, it will be transported by pipeline up to 80 km north to the chosen injection wells.
The 446 km Norlite Pipeline Project will ship diluent from the Enbridge Stonefell site to the Suncor East Tank farm near Fort McMurray. Project could be complete and in-service by the spring of 2017.
11. Kinder Morgan
The Kinder Morgan Base Line Terminal is a joint venture with Keyera Corp. It will be a crude oil storage terminal located on land at Keyera’s Alberta Enviro Fuels facility in Sherwood Park, Alberta. The initial build will have 12 tanks with a total capacity of 763,000 m³ (4.8 million barrels) and is expected to be placed in service during the second half of 2017. There is potential for the terminal to expand its operations in
The Edmonton South Rail Terminal is currently under construction south of the existing Kinder Morgan Edmonton terminal in Sherwood Park, Alberta. A joint venture with Imperial Oil Limited, will be a crude oil loading facility that will serve North American markets and refineries through direct connections to the Canadian National and Canadian Pacific railway networks.
Heartland Sulphur LP – Sulphur supply is increasing in Alberta and there is a need for additional handling facilities to serve this growing market. A report from the Energy Resources Conservation Board, bitumen refining is expected to increase by 56% by 2021 which means a large increase in sulphur, as bitumen contains about 5% sulphur. As refining capacity increases, producers will be required to move more sulphur to maintain refinery operations. In addition, there are approximately 10 million tonnes of sulphur on blocks in the oilsands that will require future reclamation. This Terminal would provide the forming and liquid loading facilities required for Alberta producers to move the increasing sulphur supply to various world markets. A proposed operational date of January 2017 has been released by the company.
13. Canadian Natural
Canadian Natural (CNRL) purchased assets from Shell, valued in the range of $12.7 billion. This includes ownership of the Athabasca Oilsands Project, 70% of the Scotford Upgrader, and the Quest CCS project. Shell will maintain ownership and operation of their refinery and chemical plants in Strathcona County, and will continue to operate the Scotford upgrader and Quest CSS.