ATCO Energy Systems Announces Key Regulatory Filing to Advance the Yellowhead Mainline Natural Gas Project

ATCO Energy Systems announced the filing of a comprehensive regulatory application that establishes the need for the Yellowhead Mainline natural gas project and represents the first of two applications to the Alberta Utilities Commission. This significant milestone in the advancement of the project allows for further major steps, including long-lead material and equipment orders and entering into other commitments once approved.

• ATCO Energy Systems advances Alberta energy infrastructure with filing of Yellowhead Mainline application with Alberta Utilities Commission.
• Application demonstrates clear need for new infrastructure to support energy, petrochemical, building materials and hydrogen projects that use natural gas and carbon capture technology to produce products the world demands with lower emissions than previously possible.
• The Yellowhead Mainline project is expected to expand the capacity and enhance the efficiency of the province’s natural gas network, delivering the energy required for Alberta’s growing industry and population.
• Expected to create thousands of direct jobs during construction and enable more than $20 billion of investment and associated employment in Alberta while also providing additional market access to producers.

“Alberta has recognized that a healthy and competitive natural gas sector is vital to jobs and the prosperity of all Albertans and can have a major role in helping meet the growing global demand for reliable and responsible energy,” said Wayne Stensby, Chief Operating Officer, ATCO Energy Systems. “We are excited for the Yellowhead Mainline project to become an integral part of the province’s energy infrastructure and for ATCO to continue to deliver a safe and reliable energy supply for our province’s growing population and industry.”

The jurisdiction for this project is entirely within the Province of Alberta, which has well-established, constructive and efficient regulatory processes. In a demonstration of the importance for this critical infrastructure project, over a dozen letters of support from major employers, industry associations, economic development agencies and municipal governments were filed along with the application.

The Yellowhead Mainline project is expected to create approximately 2,000 jobs during construction and will provide gas supply for the more than $20 billion of investment and associated employment in Alberta by customers, including the Dow Fort Saskatchewan Path2Zero project.

The project consists of approximately 200-230 kilometres of high-pressure natural gas pipeline and related control and compression facilities that will run from the Edson area to the northeast Edmonton area.

Since announcing the project in May of 2024, ATCO Energy Systems has identified several potential routes and completed preliminary engineering to further refine the delivery capability and the scope to provide an initial cost estimate. The project is expected to have the capability to deliver about 1,200 terajoules (or 1.1 billion cubic feet) per day of incremental natural gas delivery capacity. Total investment for the project is estimated at $2.8 billion and will be subject to further detailed engineering and tendering of supply contracts.

The Yellowhead Mainline is expected to be on-stream in Q4 2027 with construction planned to start in 2026, subject to regulatory and company approvals. More information about the project can be found at www.atco.com/yellowhead.

Canadian Utilities Limited and its subsidiary and affiliate companies have approximately 9,000 employees and assets of $23 billion. Canadian Utilities, an ATCO company, is a diversified global energy infrastructure corporation delivering essential services and innovative business solutions. ATCO Energy Systems delivers energy for an evolving world through its electricity and natural gas transmission and distribution, and international operations segments. ATCO EnPower creates sustainable energy solutions in the areas of renewables, energy storage, industrial water and alternative fuels. ATCO Australia develops, builds, owns and operates energy and infrastructure assets. ATCOenergy and Rümi provide retail electricity and natural gas services, home maintenance services and professional home advice that bring exceptional comfort, peace of mind and freedom to homeowners and customers. More information can be found at www.canadianutilities.com.

About ATCO

As a global enterprise ATCO Ltd. and its subsidiary and affiliate companies have approximately 20,000 employees and assets of $25 billion. ATCO is committed to future prosperity by working to meet the world’s essential energy, housing, security and transportation challenges. ATCO Structures designs, builds and delivers products to service the essential need for housing and shelter around the globe. ATCO Frontec provides operational support services to government, defence and commercial clients. ATCO Energy Systems delivers essential energy for an evolving world through its electricity and natural gas transmission and distribution, and international operations. ATCO EnPower creates sustainable energy solutions in the areas of renewables, energy storage, industrial water and clean fuels. ATCO Australia develops, builds, owns and operates energy and infrastructure assets. ATCOenergy and Rümi provide retail electricity and natural gas services, home maintenance services and professional home advice that bring exceptional comfort, peace of mind and freedom to homeowners and customers. ATCO also has investments in ports and transportation logistics, the processing and marketing of fly ash, retail food services and commercial real estate. More information can be found at www.ATCO.com.

Contact:

Kurt Kadatz – Director, Corporate Communications – kurt.kadatz@atco.com – (587) 228-4571

Source: ATCO Ltd.