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    Alberta utility files for C$2.8bn pipeline project

Summary

ATCO Energy Systems' Yellowhead Mainline will support Dow's net-zero ethylene cracker project.

by: Dale Lunan

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Alberta utility files for C$2.8bn pipeline project

ATCO Energy Systems, a subsidiary of Canadian Utilities Limited, said September 18 it had filed a comprehensive application with the Alberta Utilities Commission (AUC) for its planned 1.1bn ft3/day Yellowhead Mainline project.

The application, the first of two that ATCO Energy will file with the AUC, establishes the need for the C$2.8bn project, which will carry natural gas up to 230 km from Peers, Alberta, near Edson, to Alberta’s Industrial Heartland, northeast of Edmonton. A separate facilities application would likely be filed in Q3 2025, ATCO says in its needs application.

“Alberta has recognised that a healthy and competitive natural gas sector is vital to jobs and the prosperity of all Albertans and can have a major role in helping meet the growing global demand for reliable and responsible energy,” ATCO Energy Systems COO Wayne Stensby said. “We are excited for the Yellowhead Mainline project to become an integral part of the province’s energy infrastructure and for ATCO to continue to deliver a safe and reliable energy supply for our province’s growing population and industry.”

Over a dozen letters of support from major employers, industry associations, economic development agencies and municipal governments were filed along with the application, ATCO said.

The project is expected to create about 2,000 construction jobs and provide gas supply for more than C$20bn of investment and associated employment in Alberta by customers, including Dow’s C$8.8bn Fort Saskatchewan Path2Zero project, the world’s first net-zero integrated ethylene and derivatives facility.

Pending receipt of all required permits and regulatory approvals, ATCO expects to begin construction of the Yellowhead Mainline project in 2026. It is expected to be on-stream in Q4 2027.