Oil Sands Alliance, web image.
FORT McMURRAY — Canada’s major oilsands producers have signed a memorandum of understanding with the federal and Alberta governments aimed at increasing production, expanding access to new markets and advancing the proposed Pathways carbon capture and storage project.
The Oil Sands Alliance says the trilateral agreement outlines potential regulatory reforms and fiscal measures intended to make Canada more competitive for energy investment and support growth in oilsands production.
The agreement follows Alberta’s submission of an application for a proposed West Coast oil pipeline to the federal Major Projects Office.
The alliance says the MOU contemplates changes to streamline regulatory frameworks and ensure federal and provincial fiscal policies support production growth and the development of new export opportunities, including the proposed pipeline.
“We believe we’ve achieved a framework that is positive for the oil sands industry and provides a step forward to help enable production growth and to advance the Pathways Project,” Oil Sands Alliance president Kendall Dilling said.
“It helps meet our shared vision to grow Canadian oil production and benefit Canadians across the country.”
The agreement also outlines a policy and fiscal framework intended to support development of the proposed Pathways carbon capture and storage project.
The project would capture carbon dioxide from multiple oilsands facilities and transport it to a storage hub in the Cold Lake area for permanent underground storage.
The alliance says the project would have capacity to transport and store about six million tonnes of captured carbon dioxide annually by the mid-2030s.
Development of the project remains subject to definitive agreements and regulatory approvals.
The alliance says its members will also pursue additional emissions reductions through the Pathways project, other technologies and improvements to oilsands production practices.
“Our members will continue to work with both the provincial and federal governments to ensure Canada is a competitive destination for energy investment,” Dilling said.
The Oil Sands Alliance represents Canadian Natural Resources, Cenovus Energy, ConocoPhillips Canada, Imperial Oil and Suncor Energy.
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