Alberta-based Inter Pipeline and Rockpoint Gas Storage are pleased to announce that they have submitted a joint application as part of Alberta’s Energy’s Request for Full Project Proposals (“RFPP”) to develop a new carbon capture sequestration (CCS) hub (“the Project”) in Alberta’s Industrial Heartland. If approved and developed, the Project would provide carbon storage capacity of more than six million tonnes per annum, on an open access basis, to emitters in Alberta’s Industrial Heartland.
The Project will be anchored by emissions from IPL’s existing assets in the area and has the scale to support future petrochemical and energy transition projects planned in the region. The Project has received strong support from community stakeholders to date including the Montana First Nation of Maskwacis, Alberta, as well as large scale third-party emitters in the Industrial Heartland.
“The opportunity to develop a carbon capture sequestration of this scale will further position Alberta as a leader in energy transition and meet its decarbonization targets,” said Inter Pipeline Interim Chief Executive Officer, Brian Baker. “We believe timely access to economic pore space is a critical enabler to the development of net zero industrial projects and IPL and Rockpoint have the resources and experience to execute on all of the components of a large-scale carbon capture and storage project.”
Toby McKenna, Rockpoint’s Chief Executive Officer, said he believes the complementary nature of Rockpoint’s assets establish the Project submission as an ideal option for the region. “As the largest independent owner and operator of gas storage in North America, including owning and operating the AECO HubTM, Rockpoint has over two decades of operational and regulatory experience to provide stable, long-term geological sequestration of carbon dioxide to Alberta’s Industrial Heartland.”
Highlights of the Project
- Key element of IPL and Rockpoint’s broader ESG strategy that would support the reduction of emissions across both businesses and their customers;
- Leverages existing infrastructure, significantly reducing the need for new construction;
- The Project will be designed with deliberate sustainability in mind as IPL and Rockpoint evaluate the potential to utilize carbon free or low emission power for the energy requirements of the Project;
- Economic and timely large-scale sequestration developed from multiple carbon sequestration hubs is a critical enabler for existing emitters to reduce their emissions in support of Canada’s net zero 2050 targets, and for Alberta to continue to diversify its energy exports via the development of low emission energy sources such as blue hydrogen;
- IPL has an industry leading regulatory and safety record along with the scale and demonstrated project execution experience required to develop the project highlighted by over $9 billion of project capital deployed over the past decade;
- The Project is a logical next step following IPL’s commitment to sustainable plant design and production at the Heartland Petrochemical Complex; and
- Rockpoint contributes decades of gas storage experience and is the largest independent owner and operator of natural gas storage in North America, with more than 300 billion cubic feet (Bcf) of working gas capacity across eight assets, and the operator of Alberta’s AECO HubTM and Warwick gas storage facility.
What’s Next?
The Government of Alberta has indicated that the RFPP review process is underway for Alberta’s Industrial Heartland region with the selection of hubs and hub operators expected at the end of March 2022. Successful proponents will be granted the right to drill wells, conduct evaluation and testing, establish monitoring baselines, and inject captured carbon dioxide into deep subsurface formations within previously defined zones for sequestration, while also overseeing hub development including use of pore space and ensuring open access.
Inter Pipeline and Rockpoint are ready to initiate appraisal and development work for the Project as soon as successful proponents are announced.
For more information visit www.interpipeline.com
