Alberta grant for Inter Pipeline Heartland Petrochemical Complex worth $408 million

Inter Pipeline Ltd. has announced it will receive a $408 million grant from the Alberta government towards its Heartland Petrochemical Complex (HPC). According to Reuters, the grant will be made under the Alberta Petrochemicals Incentive Program, introduced by the government to attract investment in petrochemical plants in the province.

HPC, which is in the final stages of completion in Strathcona County, AB, will be a $4 billion petrochemical facility near Edmonton converting locally sourced, low-cost propane, into high-value polypropylene. Polypropylene is said to be an easily transported and fully recyclable plastic used in the manufacturing of an extensive range of essential finished products and consumer goods such as healthcare products, medical supplies, textiles and lightweight automotive components.

The construction of HPC continues to advance, with the propane dehydrogenation plant expected to be substantially mechanically complete in May 2021 and the polypropylene facility by the end of the year. Polypropylene production is expected to commence in early 2022.

“Our commercial teams have made great progress in securing high-quality, long-term contracts for HPC’s production capacity,” stated Christian Bayle, Inter Pipeline president and CEO.

“We are over 85 percent of the way to our minimum contracting objective and advanced negotiations are proceeding with a number of additional counterparties.”

Find out more about the Alberta Petrochemicals Incentive Program.