Cypress County straddle plants part of $5.15B assets purchase by Keyera

By COLLIN GALLANT on June 21, 2025.

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Canadian company Keyera will acquire domestic natural gas handling assets of Plains All-American Pipeline, including two large straddle plants in Cypress County, the companies announced June 17.

The Empress straddle and fractionation plants handle liquid natural gas exports from the province to Eastern Canada, and combining with Plains’ other storage and handling facilities, alongside with Keyera’s sizeable network, will grow the company, officials said.

“It’s our vision to become the North American leader in delivery and energy infrastructure,” said

CEO Dean Setoguchi.

“It brings key NGL infrastructure under Canadian ownership, enhancing domestic energy capabilities and reinforces Canada’s economic resilience by keeping value and decision making closer to home,”

The deal, valued at C$5.15 billion, will be financing by a $1.8-billion equity offering and a bridge and debt financing by the Royal Bank of Canada. It could close in early 2026, subject to approvals, Keyera stated.

U.S. based Plains will maintain oil facilities and pipelines in Canada, including several in east central Saskatchewan.

Plains acquired the Empress II and V straddle plants, which handle 5.7 billion cubic feet of gas per day, from InterPipline in 2021. It had storage facilities near Kerrobert, Sask. and Regina, Hardisty, Alta., and Edmonton.

A large processing facility in Fort Saskatchewan and Sarnia, Ont., are also being bought by Keyera, which told an investors call that the combined assets “forms a fully integrated cross-Canada NGL system, connecting Western Canada supply to key demand centres across the prairie provinces, Ontario and the eastern US.”

Setoguchi said LNG export, petrochemical opportunities and higher power production are expected to increase demand in North America.

About $100 million in near-term savings could be obtained and the purchase would and support dividend stability and long-term growth, he said.