Canadian Energy Sector Sees Boom in Natural Gas and Liquids

The Canadian energy sector is experiencing growth in both natural gas and liquids, as well as oil production. According to quarterly reports from companies such as Pembina Pipeline, TC Energy, Enbridge, Tourmaline Oil, AltaGas, and Keyera, significant investments are being made in infrastructure projects.

Pembina Pipeline has completed several major projects, including a new fractionator at its Redwater complex near Edmonton, which adds 55,000 barrels a day of propane-plus capacity. The company also sanctioned a C$570-million extraction plant backed by a long-term ethane agreement with Dow.

TC Energy estimates that North American natural-gas demand will grow by about 51 billion cubic feet a day between 2025 and 2035, driven primarily by LNG exports, gas-fired power generation, and industrial growth. The company has sanctioned C$700 million of low-risk corridor expansions in the quarter.

Tourmaline Oil reports that its NEBC Montney complex is performing better than expected, with wells reaching their 90-day production benchmarks 28% higher than the prior five-year average. AltaGas exported a record 144,420 barrels a day of LPG to Asia in the second quarter.