146-mile Yellowhead pipeline cleared for construction in Alberta
(UI) — The Alberta Utilities Commission (AUC) has approved ATCO's $2.9 billion Yellowhead Pipeline, clearing the way for immediate construction of a 146-mile natural gas transmission project designed to expand capacity and support growing industrial demand across Alberta.
The project includes a 235-kilometer (146-mile), 36-inch pipeline extending from the Peers area to Fort Saskatchewan, along with a new compressor station, Pipeline & Gas Journal reported. According to ATCO, the fully contracted pipeline will have the capacity to transport more than 1.1 Bcf/d of natural gas once it enters service.
ATCO said all major pipeline, compressor, material and supply contracts have been awarded, allowing construction to begin immediately. The company expects the project to create approximately 2,000 direct construction jobs and support an additional 12,000 downstream construction jobs tied to related industrial developments, according to Pipeline & Gas Journal. The project also includes contracting opportunities for Treaty 6 Nations and local subcontractors.
ATCO said the Yellowhead Pipeline will strengthen Alberta's natural gas transmission network as demand from industrial facilities and electricity generation continues to grow. The company estimates the $2.9 billion project will support approximately 20,000 permanent jobs annually once associated developments are operational and contribute an estimated $3.9 billion each year to Alberta's gross domestic product.
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