Oil & Gas
73% of Canada’s petroleum production, drilling, and investment spending occurs in Alberta.
Central Alberta is located at the heart of the Western Canadian Sedimentary Basin (WCSB) and plays an integral role in Alberta’s energy sector by leveraging our location, space and skilled workforce and serving as headquarters for many drilling and service companies.
Alberta has the third largest petroleum reserves in the world, after Saudi Arabia and Venezuela. The Alberta Energy Regulator forecasts that crude oil production from oil sands will increase 74% to 4.0 million barrels per day by 2024, up from 2.3 million barrels in 2014.
Servicing these immense reserves is no small task; Central Alberta plays an integral role in this industry by leveraging our location, space and skilled workforce and serving as headquarters for many drilling and service companies. With new oil sands construction cycles, demand is only projected to grow.
Machinery for Oil & Gas
Oil & gas machinery manufacturing accounts for over $300 million of the region’s manufacturing shipments. As Alberta’s hub for oilfield production services, Central Alberta plays a key role in the future of the oil and gas industry.
Transport of Oil & Gas
With 403,000 km of pipelines, Alberta has one of the world’s most extensive pipeline systems in place. There are many more pipelines currently under construction or proposed that will drastically increase access to international markets.
- Enbridge Line 9 Reversal (240-300,000 b/d)
- Enbridge Light Oil Market Access (400,000 b/d)
- TransCanada Keystone XL (830,000 b/d)
- Enbridge Northern Gateway (193,000 b/d)
- Kinder Morgan TMX (690,000 b/d)
- TransCanada Prince Rupert Gas Transmission (2 bcf/d)
- TransCanada Mackenzie Valley Pipeline (1.8 bcf/d)
- Spectra BC Natural gas Transportation (4.2 bcf/d)
- TransCanada Coastal GasLink (1.7 bcf/d)
In addition to a competitive operating environment with low taxes and low utility rates (in 2016 corporate taxes were 12% lower in Alberta than in the U.S.), oil & gas operations can take advantage of our region’s central location and highly efficient transportation network.
We have the road, air and rail infrastructure required to transport products, employees and machinery to and from major oil production sites in Alberta. The Red Deer Airport connects directly to Fort McMurray’s airport cutting travel time by one-third and Ponoka Industrial Airport‘s CANPASS service expedites the flow of goods across the border.
As new capacity to export energy is built, production is expected to increase. The Canadian Association of Petroleum Producers (CAPP) estimates that oil production from Western Canada will reach 3.7 million barrels per day (b/d) by 2025. With this increase in export capacity and production, the demand for support services will also increase. This will have a great impact on central Alberta’s oil and gas companies and all businesses that will be affected by the economic prosperity spin-off.
Alberta's reserve accounts for over 75% of Canada's natural gas production
Alberta produces 70% of Canada’s oil
Alberta produces 80% of Canada’s natural gas
- Alberta’s energy exports totaled $53.9 billion in 2010.
- Alberta’s reserve accounts for over 75% of Canada’s natural gas production.
- The Alberta Energy Resources Conservation Board forecasts production from the oil sands will more than double to 2.9 million b/d by 2019.
- According to government statistics, demand for Alberta resources will require more than $200 billion of new spending over the next 25 years.
- Numerous manufacturing operations in Central Alberta produce virtually every component used in the oil and gas industry.
- Alberta produces 70% of Canada’s oil, and nearly 80% of natural gas.
- Alberta is estimated to have 917 trillion cubic feet of natural gas reserves stored within coal-bed methane.
- Approximately 24% of Alberta’s crude oil production comes from conventional method.