By Robb M. Stewart


Keyera will build a rail hub in Alberta's industrial heartland to transport propane and butane to export facilities on Canada's west coast in an effort to diversify its market reach and tap growing global demand.

The energy company is partnering with Canadian National Railway and energy-infrastructure company AltaGas on the project, which will combine its Alberta corridor export terminal with CN's rail network and AltaGas's export platform.

The terminal will be owned and built by Keyera on its lands in Alberta, and supported by long-term deals with the other two companies. Keyera said its initial investment will be about 240 million Canadian dollars ($174.6 million), including about C$100 million on top of its already-disclosed spending guidance for 2026.

When it starts up, the terminal is expected to provide transportation capacity of about 45,000 barrels a day of propane and butane from the Fort Saskatchewan region to west coast export facilities.

Construction is already underway, including land clearing activities, with an expected in-service date of mid-2028, Keyera said.


Write to Robb M. Stewart at robb.stewart@wsj.com


(END) Dow Jones Newswires

05-20-26 0743ET