Canada: Gas-To-Chemicals Six-Billion-Dollar in Petro-Projects: Gas-To-Chemicals Shall Boost the Economy of Canada’s Western Province
New petrochemical projects shall give Alberta’s economy a substantial boost: The two plants shall convert natural gas into value added plastics products that people all over the world use every day. Investments account for a total of around six billion Canadian Dollar.
Calgary/Canada – Canada hopes for a substantial economic stimulus in its western province Alberta from two recently announced petrochemical projects: Both proposed plants shall convert propane extracted from natural gas resources into plastic products and polymers.
“These investments will help create world-class petrochemical facilities, diversify our energy economy and create thousands of high-paying, skilled jobs,” said Margaret McCuaig-Boyd, Alberta’s Minister of Energy. The province administration has thus granted the projects royalty credits under Alberta’s Petrochemicals Diversification Program, which was announced and began receiving applications in February 2016.
Polypropylene From Natural Gas
The first project is a joint venture between Pembina Pipeline Corporation and Petrochemical Industries Company (PIC), which has been approved to receive up to $ 300 million in royalty credits to build an integrated propylene and polypropylene facility in Alberta’s Sturgeon County. The project is expected to cost from $ 3.8 billion to $ 4.2 billion to build.
The facility would process about 22,000 barrels per day of propane into polypropylene, the plastic material used in the manufacturing of a variety of products such as automobile parts, containers and Canadian bank notes. Construction is expected to start in 2019, with the facility operating by 2021.
Up to 2000 New Jobs for Alberta
The second project, by Inter Pipeline, has been approved to receive up to $ 200 million in royalty credits to build a $ 1.85-billion facility in Alberta’s Strathcona County. At the peak of the three year construction phase 2,000 full-time equivalent jobs would be created.
About 1,600 of those would be at the site and the rest would be in fabrication or module shops and engineering firms. An additional 95 full-time operations positions would be created upon project startup.