Alberta gives $408M to Inter Pipeline for Heartland Petrochemical Complex
CALGARY – Inter Pipeline says it will receive $408 million in cash grants for its Heartland Petrochemical Complex under an incentive program by the Alberta government, but will have to give up $200 million in royalty credits granted by the previous government.
In a news release, the Calgary-based company says its $4-billion integrated propane dehydrogenation and polypropylene production facility being built northeast of Edmonton will be the first recipient of the grant announced in October by the United Conservative Party government.
“We applaud the Alberta government for spurring further petrochemical investment in Alberta and continuing to support the Heartland Petrochemical Complex,” says Christian Bayle, President and CEO of Inter Pipeline. “The fact that the program has a structured and logical approach makes it very competitive with other jurisdictions in North America and also substantially enhances the economics for future petrochemical investments in Alberta.”
The same project, designed to transform abundant Alberta propane into plastic beads to be exported to manufacturers, received $200 million in royalty credits in 2016 under the previous NDP government’s incentive program.