While construction continues on Inter Pipeline's $3.5-billion Heartland Petrochemical Complex, it isn't the only project they have in the works.
 
On Friday (Mar.8), Premier Rachel Notely announced that the company has plans to invest $600-million in a new petrochemical upgrading facility in the Industrial Heartland.
 
While the project is not yet finalized, it would be supported with up to $70-million in future royalty credits under the Alberta government's Petrochemicals Diversification Program.
 
"There's absolutely no question that this money helps this project go ahead," said David Chappell, senior vice-president with Inter Pipeline. "[The industry] looks for government involvement and it costs us more to build here, so this overcomes some of the extra capital cost."
 
Construction is expected to begin in 2021 and create around 600 jobs, along with an additional 50 long-term positons when it's complete.
 
The facility would convert 60,000 tonnes of propylene per year and produce 80,000 tonnes of propylene derivatives per year, including acrylic acid, once operational. Acrylic acid is used to make coatings, adhesives, diapers, floor polishes and paints.
 
"Pipelines are part of the solution to the woes of Alberta, but they're not the only solution," Chappell added. "We need to get more value out of the product that we're producing here  not just shipping more product out of the province."
 
Inter Pipeline has already been approved to receive up to $200-million in future royalty credits from the first round of the Petrochemicals Diversification Program.

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