Canadian energy infrastructure leader Keyera Corp. (TSX: KEY) has announced its purchase of Plains’ Canadian natural gas liquids business for a staggering C$5.15 billion. CEO Dean Setoguchi hailed the deal as the largest in the company’s history, emphasizing that it will not only enhance Canada’s energy security and economic resilience but also solidify the nation’s position as a global energy leader.
The acquisition brings significant assets under Keyera’s control, including:
Setoguchi noted that until now, much of the cash generated by Plains’ operations in Canada had flowed to the United States. With the acquisition, these critical assets will remain in Canadian hands, managed by a domestic team. The transaction covers infrastructure across Alberta, Saskatchewan, Manitoba, and Ontario, and is set to pave the way for a new east-west natural gas liquids corridor.
The deal is anticipated to close by the first quarter of 2026, pending standard closing conditions.
In a further move to bolster its market presence, Keyera recently entered an agreement with AltaGas to double its export capacity to Asia to 25,000 barrels per day under a 15-year contract. Initially, the facility will export propane and butane, with plans to expand to include high-value products like ethane. Setoguchi hinted at the possibility of using existing infrastructure to eventually export biofuels, thereby tapping into the growing demand for green energy products on Asia.
Amid fluctuating U.S. tariff policies under the Trump administration, the Canadian Liberal government has been working to streamline approvals for national strategic infrastructure projects. Alberta Premier Danielle Smith is actively promoting projects such as an asphalt pipeline to Prince Rupert, urging the federal government to designate them as “national construction” initiatives for expedited processing.
While Keyera will not be directly involved in constructing the West Coast pipeline, the company is keen to support the creation of a fast-track approval process for critical infrastructure projects. Setoguchi emphasized that if new pipelines stimulate increased regional production, Keyera stands ready to develop corresponding service facilities.
This strategic move not only promises long-term benefits for Keyera’s customers and shareholders but also marks a significant step in keeping Canada’s energy resources under Canadian control.
