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Pathways Alliance advances plans, contributes constructively to national and global climate and energy solutions in 2022

December 19, 2022

The Pathways Alliance found itself both a new president and a growing presence at the centre of some of the world’s most important climate and energy security discussions as it advanced its ambitious emissions reduction plans during its first full year of operations in 2022.

While 2023 is shaping up as a critical year for collaboration with governments to help implement the right policy and co-funding frameworks to advance major industry decarbonization projects, Pathways Alliance president Kendall Dilling said foundational work in 2022 set the organization up for success as it proceeds toward its net zero goal.

“This past year exceeded my expectations in many ways as we continued to develop collaborative and productive relationships with governments to advance our collective goals to sharply reduce emissions and ensure Canada is the world’s preferred supplier of responsibly produced energy,” said Dilling who was named president in June.

“While policies are still forming, we were very pleased to have contributed meaningfully to global discussions that we are confident will lead to ambitious and achievable policies to help Canada meet its climate commitments and ensure our country has a future role as a secure provider of energy in a net zero world.”

Here are some highlights:

  • 2022 saw pooled resources to advance the Pathways Alliance foundational carbon capture and storage (CCS) project and advance other decarbonization technologies number approximately 500 people, including core staff, experts from the six member companies and contractors working on early-stage engineering and environmental baseline work.
  • In Houston in March, a Pathways Alliance delegation brought short- and long-term solutions for responsibly produced and more secure energy supplies to U.S. decision makers, investors and media at CERAWeek, the world’s premier energy conference.
  • The Alliance provided constructive responses to various government policy announcements including the federal Emissions Reduction Plan, the Investment Tax Credit and the Fall Economic Statement and contributed thoughtful opinion pieces like these to the Globe and Mail, Red Deer Advocate and Research Money.
  • Early-stage engagement began in 2022 with Indigenous communities in northeastern Alberta on the foundational CCS project and company CEOs met directly with community leaders in June. In October, open house information sessions were held in Fort McMurray and Cold Lake with several Indigenous representatives.
  • Also in June, the Pathways Alliance strengthened its efforts to produce the world’s most preferred barrel of responsibly produced oil by integrating the work of Canada’s Oil Sands Innovation Alliance (COSIA), and the Oil Sands Community Alliance (OSCA) into the single Pathways Alliance organization. Kendall Dilling was appointed to lead the integration and the work of the new Pathways Alliance as the organization’s President.
  • In late summer, Pathways Alliance responded directly to Canadians who told us they want our industry to clear the air by communicating openly and transparently with them about how oil sands producers are working together on our path to net zero. The Clear the Air advertising and public awareness campaign, currently in market, is one of the most wide-ranging in the industry’s history.
  • In October, the Pathways Alliance achieved a significant milestone as it was selected by the Government of Alberta to continue evaluation work on our ambitious carbon capture and storage project. Work will help inform a regulatory application on the project that is expected to be filed in the second half of 2023.
  • Also in October, Pathways Alliance announced an estimated spend of about $24 billion on its foundational project along with significant early-stage progress towards what would be one of the world’s largest CCS projects.
  • In November, Pathways Alliance was pleased to be part of a diverse and dynamic Canadian delegation at the United Nations Climate Change Conference (COP27) in Sharm El-Sheikh, Egypt, to contribute, collaborate and listen to others on solutions to address climate change.
  • Also in November, we zeroed in on the suite of technologies to help us achieve our net zero plan.

“I’m pleased to see how far we have come in 2022 and I’m optimistic about the path forward and with continued collaboration with governments, I’m excited to see what we will achieve next year,” Dilling said.

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Cautionary Statement: Statements of future events or conditions in this press release, including projections, targets, expectations, estimates, and business plans are forward-looking statements. Forward-looking statements can be identified by words such as achieve, aspiration, believe, anticipate, intend, propose, plan, goal, seek, project, predict, target, estimate, expect, forecast, vision, strategy, outlook, schedule, future, continue, likely, may, should, will and/or similar references to outcomes in future periods. Forward-looking statements in this press release include, but are not limited to, references to the viability, timing and impact of the Oil Sands Pathways to Net Zero initiative collaboration and the development of pathways in support of a net-zero future; support for the pathways from the Government of Alberta and the Government of Canada; the ability to enable net zero emissions from oil production and preserve economic contribution from the industry; the continued role of fossil fuels as part of a diversified energy mix; and the deployment of technologies to reduce GHG emissions, such as CCUS, process improvements, energy efficiency, fuel switching, electrification, infrastructure corridors and new emissions-reducing technologies. All net-zero references in this announcement apply to emissions from oil sands operations (defined as scope 1 and scope 2 emissions).

Forward-looking statements are based on current expectations, estimates, projections and assumptions at the time the statements are made. Actual future results, including expectations and assumptions concerning: demand growth and energy source, supply and mix; amount and timing of emissions reductions; the adoption and impact of new facilities or technologies, including on reductions to GHG emissions; project plans, timing, costs, technical evaluations and capacities, and the ability to effectively execute on these plans and operate assets; that any required support for the pathways from the Government of Alberta and the Government of Canada will be provided; applicable laws and government policies, including climate change and restrictions in response to COVID-19; production rates, growth and mix; general market conditions; and capital and environmental expenditures, could differ materially depending on a number of factors. These factors include global, regional or local changes in supply and demand for oil, natural gas, and petroleum and petrochemical products and the resulting price, differential and margin impacts; political or regulatory events, including changes in law or government policy and actions in response to COVID-19; the receipt, in a timely manner, of regulatory and third-party approvals including for new technologies; lack of required support from the Government of Alberta and the Government of Canada; environmental risks inherent in oil and gas exploration and production activities; environmental regulation, including climate change and GHG regulation and changes to such regulation; availability and allocation of capital; availability and performance of third-party service providers; unanticipated technical or operational difficulties; project management and schedules and timely completion of projects; reservoir analysis and performance; unexpected technological developments; the results of research programs and new technologies, and ability to bring new technologies to commercial scale on a cost-competitive basis; operational hazards and risks; general economic conditions, including the occurrence and duration of economic recessions; and other factors referenced by the companies’ in their most recent respective annual reports and management’s discussion and analysis, as applicable.

Forward-looking statements are not guarantees of future performance and involve a number of risks and uncertainties, some that are similar to other oil and gas companies and some that are unique to the companies. Actual results may differ materially from those expressed or implied by its forward-looking statements and readers are cautioned not to place undue reliance on them. The companies undertake no obligation to update any forward-looking statements contained in this press release, except as required by applicable law.