Plains’ portfolio forms a fully integrated cross Canada NGL system connecting Western Canada supply to key demand centres across the Prairie provinces, Ontario and eastern U.S. ” “
S arnia, Ont., which sits on the southern tip of Lake Huron and peers across the St. Clair River to Michigan, is a crucial energy hub for much of the eastern half of Canada and parts of the United States. With more than 60 industrial facilities, including refineries and chemical plants that produce everything from petroleum, resins, synthetic rubber, plastics, lubricants, paint, cosmetics and food additives in the southwestern Ontario city, Mayor Mike Bradley admits the ongoing dialogue about tariffs with Canada’s southern neighbour hits close to home. So, Bradley welcomed the announcement that Calgary-based Keyera Corp. will acquire the majority of Plains American Pipelines LLP’s Canadian natural gas liquids (NGL) business, creating a cross-Canada NGL corridor that includes a storage hub in Sarnia. “As a border city, we’ve been on the frontline of the tariff wars, so we support anything that helps enhance Canadian sovereignty and jobs,” says the long-time mayor, who was first elected in 1988. The assets in Sarnia are a key piece of the $5.15 billion transaction, which will connect natural gas liquids from the growing Montney and Duvernay plays in B.C. and Alberta to markets in central Canada and the eastern U.S. seaboard. NGLs are hydrocarbons found within natural gas streams including ethane, propane and pentanes. They are important
Keyera Corp.’s natural gas liquids facilities in Fort Saskatchewan, Alta. Photo courtesy Keyera Corp.
KEYERA ‘CANADIANIZES’ NATURAL GAS LIQUIDS WITH $5.15 BILLION ACQUISITION Cross-Canada NGL corridor will stretch from B.C. to Ontario by Will Gibson
48 SPOTLIGHT ON BUSINESS MAGAZINE • VOL 25 ISSUE 4
INDUSTRY • SPOTLIGHT ON BUSINESS MAGAZINE 49
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