Alberta government becomes part owner of Sturgeon Refinery

The Alberta government is taking 50 per cent ownership of the controversial Sturgeon Refinery northeast of Edmonton.

The province has signed a restructuring deal that also extends the length of Alberta’s processing contract with the refinery by 10 years, to 2058.

READ MORE: Sturgeon Refinery now refining Alberta bitumen

The province says the deal means less taxpayer risk in the long-term. It says Alberta will benefit from being both a toll payer and a facility owner.

The government says the restructuring deal won’t cost the province anymore than it was already obligated to pay as a toll payer. The government-owned Alberta Petroleum Marketing Commission has a contract to provide bitumen to the refinery.

READ MORE: Sturgeon Refinery facing more delays after tests, won’t process bitumen until early 2020

The refinery has faced criticism in the past for cost overruns. The $9.7-billion facility began processing bitumen last year after two years of delays blamed mainly on equipment failures.

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Prior to Monday’s announcement, the refinery was owned by North West Refining and oilsands producer Canadian Natural Resources Ltd., which also provides bitumen to the facility.

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