Agreement advances Pathways carbon capture project in Alberta

Alberta, the federal government and five major oilsands producers have signed a memorandum of understanding to move forward with the Pathways carbon capture and storage project, a plan tied to a proposed West Coast oilsands pipeline. The agreement, signed on July 2 and announced Monday, includes federal tax credit extensions and Alberta incentives aimed at supporting carbon capture, oil production growth and related pipeline infrastructure. Officials say the project would help transport carbon dioxide from oilsands sites in northern Alberta to an underground storage hub near Cold Lake. The consortium behind the project includes Canadian Natural Resources, Imperial Oil, Suncor, Cenovus Energy and ConocoPhillips. The parties say the first stage could be operating by Jan. 1, 2032, with full completion expected three years later. Estimated project costs have risen from an earlier $16.5 billion to as much as $20 billion to $30 billion, according to industry comments cited in the report.