Alberta plans new oil pipeline to British Columbia to diversify markets

From Yahoo Finance: 2025-06-12 06:58:00

Alberta is seeking a private sector proponent for a new crude oil pipeline, aiming to connect the province to the Port of Prince Rupert in British Columbia. The proposed pipeline could carry one million barrels per day, diversifying Alberta’s oil export markets away from US reliance.

Premier Danielle Smith emphasized the need for Canada to broaden trade horizons amidst US trade tensions. Smith called on the federal government to support an oil pipeline to the west coast, providing access to tidewater for Alberta-made energy.

Alberta is open to a consortium approach or supporting a single company for the pipeline’s construction. The province recognizes the strategic importance of a new export pipeline in supporting Canada’s oil industry growth, which saw record production last year with the Trans Mountain pipeline expansion.

Premier Smith highlighted potential benefits of aligning the pipeline development with the Pathways Alliance carbon capture and storage project. However, the Pathways project, estimated to cost between $10bn and $20bn, is yet to secure government funding support.

Recent wildfires in Alberta led to the suspension of about 350,000 barrels per day of heavy crude production, impacting 7% of Canada’s overall oil output. The proposed new oil pipeline to British Columbia seeks private sector leadership to enhance oil export capabilities.

Read more: Alberta proposes new oil pipeline to British Columbia, seeks private sector leadership