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Released July 09, 2025 | SUGAR LAND
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Written by Daniel Graeber for Industrial Info Resources (Sugar Land, Texas)--With Canada's prime minister on board for new midstream networks, the provincial governments of Alberta and Ontario announced handshakes on energy corridor developments.
Canadian energy trade is essentially landlocked to North America, with a vest network of oil and gas pipelines streaming south. The U.S. relies on Canada for 60% of its imported crude and, despite its own riches, is a net importer of natural gas from its northern neighbor.
The return of President Donald Trump to the White House, however, brought with it newfound acrimony between the U.S. and Canada. Threats to impose stiff tariffs on the nation upended Canadian politics, prompting long-time Prime Minister Justin Trudeau to step aside earlier this year.
Alberta, home to some of the richest oil deposits in the world, has pressed hard for more trade diversity since Trump's return to the presidency. On Monday, Alberta Premier Danielle Smith said she signed a memorandum of understanding (MOU) with her Ontario counterpart, Doug Ford, on energy corridors.
"In the face of President Trump's tariffs and ongoing economic uncertainty, Canadians need to work together to build the infrastructure that will diversify our trading partners and end our dependence on the United States," Ford said.
Both Smith and Ford have been highly critical of Trump's trade policies. Ford had called for tit-for-tat tariffs on Canadian energy, while Smith advocated for east-west trade corridors.
Midstream networks run from Alberta along the shared border through Wisconsin and Michigan, and then into Ontario. The Trans Mountain pipeline is the only oil-products artery running to Canada's western shores. The pipeline's capacity was expanded recently to 880,000 barrels per day (BBL/d).
Two LNG facilities, Cedar and LNG Canada, are primed to expand trade options outside of North America, with Shell plc (London, England) recently heralding the debut delivery to Asia from the LNG Canada facility in British Columbia.
Subscribers to Industrial Info's Global Market Intelligence (GMI) Oil & Gas Production Project Database can click here for a report on the Cedar LNG project and click here for the LNG Canada project reports.
The MOU between the two provincial leaders follows support for new oil pipelines from Canadian Prime Minister Mark Carney. A former central bank official, Carney in a weekend interview with The Calgary Herald said he also favors expanded trade networks.
Given that Canada boasts some of the largest oil reserves in the world, Carney said it was "highly, highly likely" that a new oil pipeline will be added to a list of projects of national interest.
The recently passed One Canadian Economy Act was designed to remove trade barriers and advance nation-building projects, including pipelines. Carney also has proposed the creation of a "First Mile Fund," which would support rail and roadways between energy extraction sites.
Elsewhere, Canada and the European Union signed a free-trade deal in late June. Only about 3% of Canada's crude oil exports head to European economies, though both sides said they would work to build up diverse and sustainable supply chains.
Alberta and Ontario said they would work to launch a feasibility study later this year on private-sector investments in rail, pipelines and ports.
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).
Canadian energy trade is essentially landlocked to North America, with a vest network of oil and gas pipelines streaming south. The U.S. relies on Canada for 60% of its imported crude and, despite its own riches, is a net importer of natural gas from its northern neighbor.
The return of President Donald Trump to the White House, however, brought with it newfound acrimony between the U.S. and Canada. Threats to impose stiff tariffs on the nation upended Canadian politics, prompting long-time Prime Minister Justin Trudeau to step aside earlier this year.
Alberta, home to some of the richest oil deposits in the world, has pressed hard for more trade diversity since Trump's return to the presidency. On Monday, Alberta Premier Danielle Smith said she signed a memorandum of understanding (MOU) with her Ontario counterpart, Doug Ford, on energy corridors.
"In the face of President Trump's tariffs and ongoing economic uncertainty, Canadians need to work together to build the infrastructure that will diversify our trading partners and end our dependence on the United States," Ford said.
Both Smith and Ford have been highly critical of Trump's trade policies. Ford had called for tit-for-tat tariffs on Canadian energy, while Smith advocated for east-west trade corridors.
Midstream networks run from Alberta along the shared border through Wisconsin and Michigan, and then into Ontario. The Trans Mountain pipeline is the only oil-products artery running to Canada's western shores. The pipeline's capacity was expanded recently to 880,000 barrels per day (BBL/d).
Two LNG facilities, Cedar and LNG Canada, are primed to expand trade options outside of North America, with Shell plc (London, England) recently heralding the debut delivery to Asia from the LNG Canada facility in British Columbia.
Subscribers to Industrial Info's Global Market Intelligence (GMI) Oil & Gas Production Project Database can click here for a report on the Cedar LNG project and click here for the LNG Canada project reports.
The MOU between the two provincial leaders follows support for new oil pipelines from Canadian Prime Minister Mark Carney. A former central bank official, Carney in a weekend interview with The Calgary Herald said he also favors expanded trade networks.
Given that Canada boasts some of the largest oil reserves in the world, Carney said it was "highly, highly likely" that a new oil pipeline will be added to a list of projects of national interest.
The recently passed One Canadian Economy Act was designed to remove trade barriers and advance nation-building projects, including pipelines. Carney also has proposed the creation of a "First Mile Fund," which would support rail and roadways between energy extraction sites.
Elsewhere, Canada and the European Union signed a free-trade deal in late June. Only about 3% of Canada's crude oil exports head to European economies, though both sides said they would work to build up diverse and sustainable supply chains.
Alberta and Ontario said they would work to launch a feasibility study later this year on private-sector investments in rail, pipelines and ports.
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).
