Alberta Backing 'Northwest Coast Oil Pipeline'

Written by Daniel Graeber for IIR News (Sugar Land, Texas)

---

Summary

The Alberta government created a new website that looks to be advocating for an entirely new crude oil pipeline to British Columbia. Canada in general is in pursuit of non-U.S. trade options.

---

Introducing the Northwest Coast Oil Pipeline

The provincial government of Alberta has opened a webpage dedicated to proposals for a potentially new oil export artery from the western coast of Canada, part of a broader push to expand non-U.S. trade.

"With the launch of this new webpage, we're providing a transparent, accessible platform for everyone in Canada to stay informed," Brian Jean, the provincial minister of energy and minerals, said Tuesday.

Proposed last year amid simmering trade tensions with the United States, its largest trading partner, Albertans and the federal government in Ottawa, Ontario, mulled prospects to send more crude oil to Asian economies from export terminals in British Columbia.

So far, it's been tabled as an entirely new pipeline or an expansion to the existing Trans Mountain network, the only midstream network capable of delivering Canadian crude oil outside of North America. An expansion project completed in May 2024 nearly tripled the capacity on the Trans Mountain system to a total of 890,000 barrels per day (BBL/d).

Subscribers to Industrial Info's Global Market Intelligence (GMI) Power Project and Plant databases can learn more about Trans Mountain--including capacities, investment values and necessary equipment--in a detailed profile here.

Alberta Premier Danielle Smith, meanwhile, is financing a proposal for a new crude oil pipeline that would terminate in British Columbia. The newly-launched website now advocates for the so-called Northwest Coast Oil Pipeline, noting that Calgary-based energy companies Enbridge (Calgary, Alberta), Trans Mountain (Calgary) and South Bow (Calgary) are serving on an advisory committee.

Alberta's government said it would back preliminary planning work with around US$10 million of its own money to support early engineering work, cost estimates and community engagement. Once those steps are completed, the provincial government said it expected the private sector to take up the project from there.

No project specifics were outlined yet by the government, which addressed a handful of "myths" about the proposal in the newly-created website. Among the controversies addressed are the tanker ban for parts of the west coast, the route and indigenous community involvement.

"This new webpage is more than a resource -- it's a commitment to transparency," said Rajan Sawhney, the provincial minister of indigenous relations. "Indigenous communities are helping guide the way on this project from day one, and access to clear, factual information ensures their leadership continues to shape every step."

Canada Pivoting Away from U.S. Interests

New momentum for additional exports, in whatever form, comes as the Canadian government works on nation-building projects that would support efforts to halve the amount of U.S. trade over the coming years.

From soft lumber to electricity, Canada's economy is highly integrated with the United States. Canada is a net exporter of natural gas and the largest crude oil exporter by far, accounting for around 60% of the total amount of foreign oil imported into the U.S. economy, largely by pipeline and rail.

Much of the U.S. refining sector is tailored to run heavier crude oil grades such as West Canada Select. Venezuela's Merey grade is also heavy, prompting U.S. President Trump to consider a tacit take-over of the nation's oil industries after the brazen capture by the U.S. military of Venezuelan President Nicolas Maduro and his wife on narcotics charges.

Prime Minister Carney, for his part, said he wasn't deterred by the prospect of U.S. refiners taking on more Venezuelan crude, which only accounts for about 3.5% of total foreign deliveries to the United States.

"Canadian oil will be competitive because it is low risk -- clearly low risk -- (and) low cost," he was quoted by the Reuters news service as saying.

Alberta's government, meanwhile, added that carbon, capture and storage (CCS) technology would be incorporated into whatever pipeline materializes for the west coast. Carney stressed that would make Canadian crude even more desirable on the market because it balances with energy transition efforts.

Carney was in France speaking with NATO allies. He's been critical of U.S. action in Venezuela and told Danish Prime Minister Mette Frederiksen that Denmark's sovereignty, including Greenland, must be respected. Trump has proposed annexing Greenland from Denmark for its mineral wealth and national security purposes.

By the Numbers

• 60% of U.S. oil imports come from Canada
• 890,000 BBL/d from recent Trans Mountain expansion
• US$10 million from Alberta to back early work on pipeline proposal

Key Takeaways

• Canada working to expand non-U.S. trade.
• Canada supplies U.S. with heavy oil, as does Venezuela.
• Canada's prime minister moving in opposition to Trump.

---

About Industrial Info Resources
Industrial Info Resources (IIR) is the leading provider of industrial market intelligence. Since 1983, IIR has provided comprehensive research, news and analysis on the industrial process, manufacturing and energy related industries. IIR's Global Market Intelligence (GMI) helps companies identify and pursue trends across multiple markets with access to real, qualified and validated plant and project opportunities. Across the world, IIR is tracking over 200,000 current and future projects worth $17.8 Trillion (USD).