Investment in ACE Rail Terminal to strengthen Canada’s energy competitiveness, expand access to global markets and support long-term economic growth
CALGARY, AB, May 20, 2026 /CNW/ – Keyera Corp. (TSX: KEY) (“Keyera”), AltaGas Ltd. (TSX: ALA) (“AltaGas”) and CN (TSX: CNR) (NYSE: CNI) today announced plans to advance the Alberta Corridor Export (“ACE”) Rail Terminal Project (the “Project”), a strategic Canadian energy infrastructure investment designed to strengthen Canada’s energy supply chain, further increasing Canadian competitiveness on the global markets. The partnership combines Keyera’s ACE Rail Terminal with CN’s rail network and AltaGas’ West Coast export platform.
ACE will be owned and constructed by Keyera on Keyera-owned lands within Alberta’s Industrial Heartland and will be supported by long-term commercial arrangements with AltaGas and CN. With unit train loading capabilities, the ACE Rail Terminal is designed to provide the most efficient and scalable rail solution connecting the Fort Saskatchewan region to West Coast export markets through CN’s network and AltaGas’ growing global export platform.
The Project represents an initial investment by Keyera of approximately $240 million, including approximately $100 million incremental to Keyera’s previously disclosed 2026 growth capital guidance.
Upon start-up, the ACE Rail Terminal is expected to provide transportation capacity of approximately 45,000 barrels per day of propane and butane from the Fort Saskatchewan region to West Coast export facilities. The infrastructure is highly scalable and will be able to support the transportation of additional energy products from the region as market opportunities evolve.
The ACE Terminal will utilize a unit train capable rail loop design intended to improve loading efficiency, reduce handling requirements and lower transportation costs relative to traditional rail solutions. Construction activities are underway, including land clearing activities, with an expected in-service date of mid-2028, aligned with the completion of Keyera’s KFS Fractionation III project.
“This project reflects our continued focus on strengthening and extending Keyera’s integrated value chain while providing customers with an efficient solution to diversify market access and benefit from growing global LPG demand,” said Dean Setoguchi, President and Chief Executive Officer of Keyera. “We are thrilled to partner with two other industry-leading Canadian companies on infrastructure that will create jobs and support the continued growth and competitiveness of the Canadian energy industry.”
“This agreement represents a meaningful step forward as we continue to strengthen AltaGas’ open-access energy export platform,” said Vern Yu, President and Chief Executive Officer of AltaGas. “Leveraging unit train capability enhances operating efficiency and reduces costs, creating greater value for our customers while strengthening the global competitiveness of Canadian energy. We value our relationships with Keyera and CN and are pleased to further these partnerships in support of our long‑term growth objectives.”
“CN’s network is built to connect our customers’ products to global markets,” said Tracy Robinson, President and Chief Executive Officer of CN. “The ACE Rail Terminal is strategic, trade-enabling infrastructure that will add efficient and scalable capacity between the Alberta Industrial Heartland and West Coast gateways, particularly the Port of Prince Rupert as key energy export projects approach completion. It supports the competitiveness of Canadian energy products, gives customers more reliable access to global markets, and reflects the kind of supply chain investment Canada needs to compete over the long term.”
ACE Rail Terminal: Efficiently Connecting Canadian Energy to Global Markets
About Keyera Corp.
Keyera Corp. (TSX:KEY) operates an integrated Canadian-based energy infrastructure business with extensive interconnected assets and depth of expertise in delivering energy solutions. Its predominantly fee-for-service based business consists of natural gas gathering and processing; natural gas liquids processing, transportation, storage and marketing; iso-octane production and sales; and an industry-leading condensate system in the Edmonton/Fort Saskatchewan area of Alberta. Keyera strives to provide high quality, value-added services to its customers across North America and is committed to conducting its business ethically, safely and in an environmentally and financially responsible manner.
About AltaGas
AltaGas is a leading North American infrastructure company that connects customers and markets to affordable and reliable sources of energy. The Company operates a diversified energy infrastructure business that is focused on delivering resilient and durable value for its stakeholders. From wellhead to tidewater, AltaGas’ Midstream business is focused on providing its customers with safe and reliable service and connectivity that facilitates the best outcomes for their businesses. This includes global market access for North American LPGs, which provides North American producers and aggregators with the best netbacks for LPGs while delivering diversity of supply and stronger energy security to its downstream customers in Asia.
About CN
CN powers the economy by safely transporting more than 300 million tons of natural resources, manufactured products, and finished goods throughout North America every year for its customers. With its nearly 20,000-mile rail network and related transportation services, CN connects Canada’s Eastern and Western coasts with the U.S. Midwest and the U.S. Gulf Coast, contributing to sustainable trade and the prosperity of the communities in which it operates since 1919.
For more information please contact:
Keyera: Dan Cuthbertson, General Manager, Investor Relations (dan_cuthbertson@keyera.com)
AltaGas: Jon Morrison, Senior Vice President, Corporate Development and Investor Relations (jon.morrison@altagas.ca)
CN: Jamie Lockwood, Vice-President, Investor Relations and Special Projects (investor.relations@cn.ca)
Forward-Looking Information
This press release contains certain statements that constitute “forward-looking statements” and “forward-looking information” within the meaning of the United States Private Securities Litigation Reform Act of 1995 and applicable Canadian securities legislation, respectively (collectively, “forward-looking information”). Forward-looking information is typically identified by words such as “continue”, “expect”, “will”, “plan”, “intend” and similar words or expressions, including the negatives or variations thereof. All statements other than statements of historical fact contained in this document are forward-looking information, including, without limitation, the planned progression of the Project; the ownership, responsibility for construction, and location of the Project; the transportation capacity of the ACE Rail Terminal; the scalability of the ACE Rail Terminal infrastructure; the expectation that the ACE Rail Terminal will support the transportation of additional energy products; the benefits of unit train capable rail loop designs; the in-service date of the ACE Rail Terminal; and the new jobs associated with the Project.
All forward-looking information reflects Keyera, AltaGas and CN’s beliefs and assumptions based on information available at the time the applicable forward-looking information is made and in light of Keyera, AltaGas and CN’s current expectations with respect to such things as the outlook for general economic trends, industry trends, commodity prices and the integrity and reliability of their assets. As this forward-looking information depends on future events, actual outcomes may differ materially depending on factors such as satisfactory construction work at the ACE Rail Terminal, the schedule, availability and cost of crews and materials, the accuracy of the construction schedule and cost estimates, potential delays or changes in construction plans and associated expenditures and other known or unknown factors.
The respective management of each of Keyera, AltaGas and CN believe that their assumptions and expectations reflected in the forward-looking information contained herein are reasonable based on the information available on the date such information is provided and the process used to prepare the information. However, it cannot assure readers that these expectations will prove to be correct.
Readers are cautioned that the foregoing list of important factors is not exhaustive and they should not unduly rely on the forward-looking information included in this press release. Further, readers are cautioned that the forward-looking information contained herein is made as of the date of this press release. Unless required by law, Keyera, AltaGas and CN do not intend and do not assume any obligation to update any forward-looking information. All forward-looking information contained in this press release is expressly qualified by this cautionary statement.
SOURCE Keyera Corp.