CSV Midstream receives regulatory approval for sour gas plant in Alberta

Calgary-based CSV Midstream Solutions Corp. is making progress with its planned Gold Creek sour gas processing plant in Alberta.

CSV received approval under the Environmental Protection and Enhancement Act (EPEA) and the Alberta Energy Regulator’s Policy 56.

The regulatory approval “marks a significant milestone in the development of the Gold Creek facility,” CSV said in a news release, as it moves toward a final investment decision on the project, which is subject to binding agreements with production partners. The facility is expected to be operational in 2027.

The Gold Creek plant is permitted as a 150 million cubic feet per day sour gas plant. It will recover up to 370 cubic feet per day of sulphur and eliminate the need, risks and concerns associated with the disposal of sour gas in the region, while providing producers with market access and options for the sulphur feedstock, CSV said. The plant will be similar in size, design and operation to the Albright Gas Plant, which is currently under construction west of Grande Prairie and is expected to be operational in the fourth quarter.

The plant will process sour natural gas with high H2S content from Alberta’s Montney Formation. The sulphur produced has numerous end uses, including fertilizer for agriculture, acid production for lithium extraction, and feedstocks in mining and industrial services. The plant will be the only sour gas plant with sulphur recovery in the Gold Creek area and will provide a much-needed sour gas processing solution for producers south of the Wapiti River, CSV stated.

Christopher Dutcher, Vice President of Business and Corporate Development at CSV, said, “Today’s announcement underscores CSV’s growing presence as we continue to develop unique solutions that benefit our industry and community partners. Our focus on the Grande Prairie region and the Greenview Industrial Gateway underscores our commitment to supporting and expanding product usage in the Grande Prairie region with companies and partners and helps ensure economic benefits remain in the region. We expect more opportunities to emerge as more companies choose to locate and grow at the Greenview Industrial Gateway.”

The Gold Creek facility underscores CSV’s Regional Shared Value initiative and supports our focus on the Grande Prairie and Peace River region, the company said. The facility will be strategically located adjacent to the Greenview Industrial Gateway and Side Group Rail’s Gold Creek rail facility. The location provides flexibility and additional opportunities to develop long-term local products, services and economic benefits for the greater Grande Prairie region and the region’s Indigenous communities, the company noted.

CSV said it is also exploring acid water treatment options that could improve service delivery in the region. The company’s proven, proprietary water treatment process allows produced acid water to be treated, recycled and returned to producers for use in applications such as hydraulic fracturing. The treated water could reduce industry’s freshwater needs, reducing the strain on rivers, lakes and aquifers in the region as we work to mitigate the drought conditions plaguing the region, the release said.

CSV provides sustainable strategies for the development, engineering, construction, operation and management of natural gas and natural gas liquids (NGL) assets, including sweet and sour gas processing, liquids handling, gas gathering and transportation pipelines and captive water services. The company’s primary focus is the natural gas energy industry in the Grande Prairie and Peace River region of Alberta.

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