The province has approved a Gibson Energy project just outside of Hardisty, AB that will increase Alberta’s ability to ship oil to the U.S. Gulf Coast.

This diluent recovery unit (DRU), to be built at the Hardisty rail terminal, will increase Alberta’s takeaway capacity. Prior to loading onto rail cars, the DRU technology will remove diluent from blended bitumen, freeing up rail car capacity for additional oil. The recovered diluent will be reused by upstream oil sands producers.

The government’s approval allows the project to proceed to the next stages of development, including additional environmental approvals, before construction can begin.

“Approving this project demonstrates our government’s commitment to supporting innovative technology and enhancing our reputation as a leader in responsible energy development. Projects like this attract new investment, create jobs and strengthen our energy industry,” commented Sonya Savage, Minister of Energy.

These development plans required stringent review by the Alberta Energy Regulator before being submitted to the Government for approval. 

Gibson Energy estimates the project could be operational as early as the second quarter of 2021.