With Yellowhead pipeline, ATCO is making a bet on natural gas to meet Alberta’s energy needs

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ATCO CEO says she hopes the project will also boost development in Alberta’s Industrial Heartland

is betting big on the role natural gas will play in Canada’s energy future, with a new $2-billion pipeline-infrastructure project that chief executive Nancy Southern says will help grow demand for the fossil fuel in Alberta as the energy transition spurs hydrogen production.

ATCO’s massive new Yellowhead Mainline project will consist of approximately 200 kilometres of natural gas pipeline from Peers, Alta. – about 170 kilometres west of Edmonton – to Fort Saskatchewan, just northeast of the provincial capital. The pipeline is expected to have the capability to deliver up to one billion cubic feet a day of natural gas, reinforcing Alberta’s natural-gas network for its growing population and industries.

Ms. Southern said in an interview Wednesday that she hopes the project will also boost development in’s Industrial Heartland, a region in Fort Saskatchewan where more than 40 companies produce fuels, fertilizers, power and petrochemicals. ATCO has several hydrogen projects around the world, including in Australia and Japan. These include production, blending and refuelling facilities. In October, 2022, it began delivering a blend of natural gas containing 5 per cent hydrogen into a subsection of the Fort Saskatchewan natural gas distribution system.

That’s where small modular nuclear reactors come in. Ms. Southern said she sees incredible opportunities in a Trans-Canada power grid backbone that the federal government has talked about – despite regular bickering between the provinces and Ottawa.

 

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