Alberta commits funds to petrochemical boost
Alberta’s government is committing as much as $1 billion to programs designed to attract petrochemical investment and expand infrastructure for petrochemical feedstocks.
Legislation introduced by Energy Minister Margaret McCuaig-Boyd provides:
• $500 million in royalty credits for a second round of a petrochemicals diversification program over 4 years beginning in 2020-21.
• $500 million in loan guarantees and grants to create a petrochemical feedstock infrastructure program over 3 years beginning in 2021-22.
The commitments join $1 billion the province announced in February to support development of facilities for the partial upgrading of bitumen (OGJ Online, Feb. 27, 2018).
The second round of the petrochemicals diversification program accommodates proposals that include using ethane, in addition to propane and methane, as feedstock.
The feedstock infrastructure initiative aims at encouraging projects needed to increase supplies of natural gas liquids, such as gas processing plants, straddle plants, and extraction plants along major gas pipelines.
