Alberta aiming to create test site to support new drilling technologies
An oil rig drills a well under moon light near Cremona, Alta., Sunday, Sept. 24, 2023. (Jeff McIntosh / The Canadian Press)
LEDUC COUNTY, ALTA. -
Alberta’s government says it will invest up to $50 million to support the creation of a first-in-Canada drilling test site to support technology development in the oil, gas, geothermal and lithium industries.
The Alberta Drilling Accelerator is intended to be an open-access, industry-led site where companies can test drilling technologies at deep depths, high temperatures and varying rock types.
A location for the hub site has yet to be determined.
While no binding contracts have been signed, the province says several companies have expressed strong interest in serving as anchor tenants, including Calgary-based geothermal company Eavor Technologies, Tourmaline Oil Corp. and international oilfield service supermajor Halliburton.
The money the province is providing will come from the industry-funded Technology Innovation and Emissions Reduction (TIER) program, which Alberta's heavy emitters are required to pay into as part of the province's industrial carbon pricing system.
The provincial government says the Alberta Drilling Accelerator could start drilling in 2026.
This report by The Canadian Press was first published Nov. 25, 2024.
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