The Pathways Alliance, a consortium of Canada’s largest oilsands companies, is expecting significant progress on their ambitious $16.5 billion carbon capture project.
This project aims to create one of the largest carbon capture and storage (CCS) systems in the world, with the goal of reducing emissions from oilsands sites in northern Alberta, Canada.
The project has received a boost with the government’s announcement of additional details about the promised carbon capture investment tax credit, as well as an announced timeline for the finalization of the tax credit, signaling its commitment to supporting innovative solutions for reducing greenhouse gas emissions.
The government has also committed to providing up to $7 billion for special contracts aimed at giving companies reassurance to make significant investments in reducing their harmful emissions.
The Pathways Alliance is a consortium of Canada’s leading oilsands companies, with members including Suncor Energy, Imperial Oil, Canadian Natural Resources Ltd., Cenovus Energy, MEG Energy, and ConocoPhillips Canada.
These companies have come together with the intention of jointly investing in the creation of what would be one of the largest carbon capture projects in the world.
This large-scale endeavor would involve the construction of a substantial pipeline system intended to convey carbon from 20 separate carbon capture facilities situated at oilsands sites in northern Alberta to an underground hub near Cold Lake, where it would be securely stored.
This bold plan aims to sequester up to 10 to 12 million tonnes of carbon emissions annually, a substantial reduction for an industry that currently accounts for about 12% of Canada’s overall emissions.
Although the group has not yet made a final project investment decision, it has already allocated approximately $80 million towards preliminary engineering, design, and environmental work.
Kendall Dilling, president of Pathways, has expressed increased confidence about the project compared to a year ago, and he also announced that the company is getting ready to seek regulatory approval in the coming months.