Canada-based Inter Pipeline, a petroleum transportation, storage and natural gas liquids processing company, revealed that it will receive up to $70 million in future royalty credits.
The company will get the funds for a facility being considered that will convert propylene produced from Alberta propane into higher value products including acrylic acid.
Inter Pipeline said that the project, which will cost approximately $600 million to construct, is in the conceptual stage and the government funding is one step toward a positive final investment decision.
The building on the acrylic acid and propylene derivatives facility is anticipated to start in 2021, assuming a positive final investment decision in 2020.