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Home»Sarnia»New Pipeline Announcement Boosts Sarnia’s Future
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Sarnia

New Pipeline Announcement Boosts Sarnia’s Future

July 8, 20264 Mins Read
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New Pipeline Announcement Boosts Sarnia’s Future
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Handout The proposed route of the Northern Shield Pipeline.

Cathy Dobson
Local Journalism Initiative Reporter
Petrolia Lambton Independent

The announcement on Monday about a new pipeline planned to run completely through Canada from Alberta to Sarnia’s refineries is a major win for the industrial future of Sarnia-Lambton.

“What it means is Canadian feedstock (will be) moving to Canadian production through Canadian transmission, solely in Canada,” said Matthew Slotwinski, CEO of the Sarnia Lambton Economic Partnership (SLEP).

“This project is critically important to Canada from an energy and feedstock security standpoint, and critically important to Sarnia-Lambton’s petrochemical and refining operations,” he stated.

Alberta Premier Danielle Smith and Ontario Premier Doug Ford shared details on Monday about the Northern Shield Energy Corridor, indicating that the pipeline would transport an extra 500,000 barrels of Alberta oil daily, with a possibility for future growth up to 800,000 barrels per day.

“This new corridor will include the concept of a strategic petroleum reserve, or SPR, that will store essential Alberta oil reserves in the Sarnia refinery area to ensure key refined products like diesel, jet fuel, and gasoline are uninterrupted,” Smith mentioned during a news conference in Alberta.

Ontario is currently working on estimating costs and will look into commercial models along with related development opportunities for this energy corridor.

“The Northern Shield Energy Corridor will include a new pipeline built using Canadian steel by Canadian workers that will bring oil from Hardisty, Alberta to new and expanded refineries in Sarnia, Ontario, including Sarnia’s vital energy and shipping routes,” Ford noted. He added that bringing Alberta oil to Sarnia will ” fuel our province’s economic growth.”

Ford told reporters that Ontario aims to finish a feasibility study within a year. He has already been in discussions with the federal government’s “Major Projects Office” which focuses on national-building initiatives.

The need for transporting feedstock from the west to Sarnia has been highlighted since legal actions were taken by the United States concerning Line 5. This line serves as a major conduit for feedstock running beneath the Straits of Mackinac. If Line 5 were ever shut down without another pipeline option from out west, it could threaten the future of local refineries in Sarnia.

The potential of the Northern Shield Energy Corridor – entirely located within Canada – addresses this issue effectively, Slotwinski explained.

If Line 5 were eventually closed down, it would impact several local operations,” he said. “So what this does is ensure feedstock security for local (refineries) and energy security for all of Ontario.”

This is fantastic news.”

An all-Canadian pipeline reflects how both provincial governments continue to believe there’s a long-term necessity for oil-based infrastructure,” Slotwinski remarked.

“That doesn’t mean we shouldn’t also search for clean, green sustainable options and diversifications.”

Ford indicated that Ontario is “exploring new existing port options for pipeline extensions and (a) potential strategic petroleum reserve; we’ll define estimated costs while exploring commercial options further and engaging with possible private sector partners. We’ve started consultations with indigenous communities as part of our duty.”

Both premiers suggested there are possibilities to extend the pipeline towards both east coast areas and Churchill, Manitoba if political support exists. They also expressed openness toward commercial investors but noted that constructing this pipeline with taxpayer funding remains an option too. Smith stated using tax dollars for pipelines could lead to long-term benefits since provinces would gain revenue from companies transporting oil via these lines into Sarnia.

Sarnia Mayor Mike Bradley referred to Monday’s announcement regarding the Northern Shield pipeline as “a lot of good news for Sarnia-Lambton” in a social media post.

“When Premier visited city hall last August we discussed how it’s essential for Sarnia-Lambton be involved in any new Canadian pipelines as Eastern Canada’s energy hub; today marks an enormous step forward but there’s still much work ahead,” Bradley shared.

Sarnia-Lambton MPP Bob Bailey also showed his support towards this initiative.

“Connecting Alberta’s vast energy resources with our petrochemical hub via a completely Canadian pipeline perfectly illustrates how such nation-building projects can drive economic growth well into future generations,” Bailey stated through email.

I can’t wait until we see results from feasibility studies later this year while I’ll do everything I can do push forward this vision surrounding Northern Shield Energy Corridor.”

The optimism was echoed by members at The Chamber Of Commerce who expressed hopefulness regarding developments saying “This announcement recognizes why recognizing importance associated between region surrounding its relevance tied closely together dynamics seen throughout entire country when discussing issues revolving around energies.”, added Steve Crozier Interim CEO”......

SLEP reported that more than three out four operational oil refineries exist right here making up over seventy percent overall capacity found across province reflecting presence operators including Imperial Oil/Suncor/Shell facilities alongside fourth operated located Nanticoke.”--

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