Page 12 - NorthAmOil Week 46 2021

NorthAmOil NEWS IN BRIEF NorthAmOil

POLICY These reductions will be largely achieved backed by EnCap Flatrock Midstream.
by small and medium-sized companies in The Ironwood II leadership team has
Emissions Reduction Fund Alberta, Saskatchewan, Manitoba and British assumed management of the Nuevo assets
Columbia.
including approximately 100 miles of crude
onshore programme making to date of the ERF during his visit to Calgary, oil gathering pipeline in Lavaca, Gonzalez,
Minister Wilkinson will mark the results
and Fayette counties that feed the Lavaca
major strides in cutting where he will hold a roundtable with the Terminal, which consists of 300,000
Calgary Chamber of Commerce and the
barrels of crude oil storage and a six-bay
methane emissions Business Council of Alberta and also meet truck station. The system also includes a
representatives from the oil and gas sector.
26-mile intermediate pipeline that moves
Methane is responsible for around 30% The ERF is one of many key measures that volumes from the terminal to third-party
of the global rise in temperatures to date support decarbonization in the oil and gas transportation pipelines with access to
and accounts for about 13% of Canada’s sector, but the government recognises that refineries, petrochemical plants and export
total greenhouse gas emissions. Reducing further climate action is needed to achieve terminals on the Texas Gulf Coast.
methane emissions is a key part of Canada’s Canada’s climate goals. This is why the IRONWOOD MIDSTREAM ENERGY PARTNERS
strengthened climate plan to achieve net-zero government put a price on carbon pollution, II, November 16, 2021
emissions by 2050. committed to reaching net-zero emissions
Today, the Honourable Jonathan by 2050, and announced its commitments
Wilkinson, Minister of Natural Resources, to developing a plan to reduce methane DOWNSTREAM
announced that after one year of its launch, emissions across the broader Canadian
the Emissions Reduction Fund (ERF) economy and to reducing oil and gas methane Tidewater Renewables
Onshore Program is making major strides in emissions by at least 75% below 2012 levels by
reducing methane emissions by helping oil 2030. enters into a multi-year sale
and gas companies adopt clean technologies NATURAL RESOURCES CANADA, November 18,
while maintaining jobs in the sector. 2021 agreement of its BC LCFS
The ERF was launched in fall 2020 as a
COVID-19 response measure to maintain credits with an investment
employment and support oil and gas workers MIDSTREAM
and local communities during the pandemic. grade counterparty
Small and medium-sized companies as well Ironwood Midstream
as communities across Western Canada Tidewater Renewables is pleased to announce
including Estevan, Saskatchewan; Brandon, significantly expands its a multi-year agreement today with an
Manitoba; and Slave Lake, Alberta, where investment-grade company to sell British
projects are underway, have been able to footprint and operations in Columbia Low Carbon Fuel Standard (BC
benefit directly from this programme. LCFS) credits that it will receive through
To date, companies have received Eagle Ford shale region of the construction of the Renewable Diesel
CAD134mn in ERF funding to support & Renewable Hydrogen Complex at Prince
81 projects that are anticipated to result in South Texas George, BC, at values higher than previously
reductions of 4.6 megatonnes of carbon budgeted.
dioxide equivalent in the first year following Ironwood Midstream Energy Partners II As part of the transaction, Tidewater
project completion – comparable to removing today announced it has significantly expanded Renewables has agreed to sell a total of
1mn passenger vehicles from our roads for its crude oil midstream footprint in the Eagle 125,000 BC LCFS credits at CAD425 per
one year. These projects are a low-cost way to Ford Shale as a result of an asset combination credit, as compared to the previously disclosed
reduce harmful emissions while concurrently with Nuevo Midstream Dos (Nuevo). budgeted value of CAD375 per credit for
supporting jobs and local communities. Ironwood II and Nuevo are both financially credits to be received under the Renewable
Diesel ?Project Part 3 Agreement with the
British Columbia government. This multi-year
agreement, which extends to January 2024,
significantly reduces the value realisation
risk on a portion of the BC LCFS credits that
Tidewater Renewables will receive, realising
total proceeds of over CAD53mn over the
term of this agreement. The corporation
continues to work on other potential multi-
year agreements to monetise further credits
that it will receive from the construction and
operation of the complex, from its canola co-
processing facility, and from other projects.
In addition to the 275,750 BC LCFS
credits Tidewater Renewables expects to
receive for construction and commissioning
of the Complex, the Corporation will also

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