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Released March 12, 2025 | SUGAR LAND
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Written by Daniel Graeber for Industrial Info Resources (Sugar Land, Texas)--Canadian trade arteries are largely tied to the U.S., with a dense network of pipelines from Alberta feeding refineries in its southern neighbor. About 60% of the total crude oil, or some 4 million barrels per day (BBL/d), enters the U.S. from Canada.
The potential for a North American trade war, however, could jeopardize cross-border flows. With tariffs and cross-border dependencies in mind, the provincial government of oil-rich Alberta is proposing a joint working group with the federal government, provinces and territories to improve and diversify trade arteries in the nation away from the north-south links.
Exports of crude oil, refined petroleum products, natural gas and natural gas liquids (NGLs) were valued at about US$115 billion in 2023, the last full year for which the Canadian government published data. At the time, that accounted for 21% of total Canadian exports.
On Monday, the Port of Vancouver reported that 158 million metric tons of cargo moved through its system last year, a record that was 5% above 2023 levels.
"The Port of Vancouver continues to drive Canadian prosperity--enabling seamless trade with up to 170 nations across the globe and supporting countless well-paying family jobs across the nation," said Peter Xotta, the president and chief executive officer of the port authority.
The port said liquid bulk exports surged 203% year-over-year, with petroleum moving through the Trans Mountain pipeline supporting the increase. Diversifying trade options, the port authority said more than half of the crude oil deliveries since May 2024 went to the expanding economies in the Asia-Pacific.
Approved in 2019, an expansion pushed the capacity on the 714-mile pipeline that runs from Alberta to 880,000 BBL/d.
"Trans Mountain's expansion coming into operation last May was a significant milestone for Canada and the port--adding export capacity and opening up new opportunities for Canadian producers," Xotta said.
More options too are coming by way of liquefied natural gas (LNG) exports from Kitimat, British Columbia. ARC Resources Limited (Calgary, Alberta) announced Tuesday that an Asia-Pacific subsidiary of Exxon Mobil Corporation (NYSE:XOM) (Spring, Texas) agreed to buy its entire offtake from the Cedar LNG facility.
Subscribers to Industrial Info's Global Market Intelligence (GMI) Oil & Gas Project and Plant databases can learn more about Cedar LNG from a detailed project report and plant profile.
Cedar LNG will consist of a floating liquefied natural gas (FLNG) facility in Kitimat, with a nameplate capacity of about 440 million cubic feet per day. That's small relative to U.S. volumes. The largest U.S. terminal is the Sabine Pass facility, operated by Cheniere Energy Incorporated (NYSE:LNG) (Houston, Texas). It has a design capacity of 4.56 billion cubic feet per day. Subscribers can learn more from a detailed plant profile.
However, like Trans Mountain, Cedar LNG offers Canada options outside of North America.
"This agreement provides ExxonMobil with advantaged access to Asian LNG markets by establishing ExxonMobil's first long-term offtake position on Canada's Pacific Coast," said Andrew Barry, a vice president for LNG markets at the Exxon subsidiary for the Asia-Pacific.
ARC Resources has a deal to provide Cedar LNG operator Pembina Pipeline Corporation (NYSE:PBA) (Calgary) with about 200 million cubic feet per day of natural gas from the Coastal GasLink natural gas pipeline, operated by TC Energy Corporation. The pipeline is designed to deliver 2.1 Bcf/d of natural gas to Kitimat.
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) platform 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 more than 200,000 current and future projects worth $17.8 trillion (USD).
The potential for a North American trade war, however, could jeopardize cross-border flows. With tariffs and cross-border dependencies in mind, the provincial government of oil-rich Alberta is proposing a joint working group with the federal government, provinces and territories to improve and diversify trade arteries in the nation away from the north-south links.
Exports of crude oil, refined petroleum products, natural gas and natural gas liquids (NGLs) were valued at about US$115 billion in 2023, the last full year for which the Canadian government published data. At the time, that accounted for 21% of total Canadian exports.
On Monday, the Port of Vancouver reported that 158 million metric tons of cargo moved through its system last year, a record that was 5% above 2023 levels.
"The Port of Vancouver continues to drive Canadian prosperity--enabling seamless trade with up to 170 nations across the globe and supporting countless well-paying family jobs across the nation," said Peter Xotta, the president and chief executive officer of the port authority.
The port said liquid bulk exports surged 203% year-over-year, with petroleum moving through the Trans Mountain pipeline supporting the increase. Diversifying trade options, the port authority said more than half of the crude oil deliveries since May 2024 went to the expanding economies in the Asia-Pacific.
Approved in 2019, an expansion pushed the capacity on the 714-mile pipeline that runs from Alberta to 880,000 BBL/d.
"Trans Mountain's expansion coming into operation last May was a significant milestone for Canada and the port--adding export capacity and opening up new opportunities for Canadian producers," Xotta said.
More options too are coming by way of liquefied natural gas (LNG) exports from Kitimat, British Columbia. ARC Resources Limited (Calgary, Alberta) announced Tuesday that an Asia-Pacific subsidiary of Exxon Mobil Corporation (NYSE:XOM) (Spring, Texas) agreed to buy its entire offtake from the Cedar LNG facility.
Subscribers to Industrial Info's Global Market Intelligence (GMI) Oil & Gas Project and Plant databases can learn more about Cedar LNG from a detailed project report and plant profile.
Cedar LNG will consist of a floating liquefied natural gas (FLNG) facility in Kitimat, with a nameplate capacity of about 440 million cubic feet per day. That's small relative to U.S. volumes. The largest U.S. terminal is the Sabine Pass facility, operated by Cheniere Energy Incorporated (NYSE:LNG) (Houston, Texas). It has a design capacity of 4.56 billion cubic feet per day. Subscribers can learn more from a detailed plant profile.
However, like Trans Mountain, Cedar LNG offers Canada options outside of North America.
"This agreement provides ExxonMobil with advantaged access to Asian LNG markets by establishing ExxonMobil's first long-term offtake position on Canada's Pacific Coast," said Andrew Barry, a vice president for LNG markets at the Exxon subsidiary for the Asia-Pacific.
ARC Resources has a deal to provide Cedar LNG operator Pembina Pipeline Corporation (NYSE:PBA) (Calgary) with about 200 million cubic feet per day of natural gas from the Coastal GasLink natural gas pipeline, operated by TC Energy Corporation. The pipeline is designed to deliver 2.1 Bcf/d of natural gas to Kitimat.
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) platform 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 more than 200,000 current and future projects worth $17.8 trillion (USD).
