Consortium eyeing Alberta for $10B petrochemical investment: Kenney

Kenney says consortium eyeing Alberta for $10B petrochemical investment
WATCH ABOVE: Premier Jason Kenney says an international consortium is looking at the Edmonton region as a potential home for a $10-billion petrochemical facility. Tom Vernon has the details.

Premier Jason Kenney says an international consortium is eyeing up the Edmonton region for a prospective $10-billion investment in a new petrochemical facility.

Kenney was to sit down with the proponents in Calgary on Friday afternoon.

The premier didn’t name who was involved in the pitch, or what type of facility is being proposed.

“We certainly want to attract more big investments into petrochemicals,” Kenney told reporters in Lethbridge, adding that an NDP-era program may be part of the pitch.

“We do acknowledge that there certainly do need to be some incentives, and we think that the PDP (Petrochemical Development Program) program may be part of the mix.”

Kenney said Albertans will learn more about the government’s plans in the budget, which will be tabled during the fall session of the legislature.

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READ MORE: Alberta chooses 2 petrochemical plants for $500M in royalty credits

The PDP provides royalty credits to companies once a new facility is up and running. The NDP used the program to attract and approve Inter Pipeline’s $3.5-billion polypropylene plant in the Industrial Heartland.

READ MORE: Federal government pledges $49M for $3.5B plastics project in Alberta

“This is the largest industrial project I believe going on in Alberta today,” Inter Pipeline CEO Christian Bayle said earlier this month.

The company will receive up to $200 million in royalty credits once the plant is operational, beginning in 2022. Bayle said he believes every penny put forward by the government is well-spent.

“Of the $3.5 billion that we’re investing in this project, we believe about $2.7 billion of that will go into the Alberta economy through directly employing people, and also directly and indirectly involving about 150 Alberta-based companies.”

One of those companies is Waiward Industrial.

“At a time where business was slow, they were able to come in and help our company, among others,” Waiward CEO Andy Brooks said.

The company now runs both day and night shifts during the week, and has added a weekend shift as well.

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“It’s been significant for us in how we do business, and what we do moving forward.”