Alberta Government Lends Support to Canadian Inter Pipeline Limited for its Heartland Petrochemical Complex
- Journalist: Jaideep Kumar
Canadian Inter pipeline received a huge relief when Alberta Govt. under its Alberta Petrochemicals incentive program announced a grant of USD 325 million to assist its Heartland Petrochemical Complex which consist of a propane dehydrogenation (PDH) and a Propylene production facility.
Inter’s much awaited pipeline project at Heartland Complex near Edmonton, Alberta is expected to come online in 2022. However, the project has faced many hurdles including cost overruns and construction delays due to COVID-19 which has rendered the company susceptible to takeover. In order to seize the opportunity, Brookfield Infrastructure Partners have made some ambitious bids.
Cash Grant from Alberta Govt will be provided in equal installments once the Heartland Complex is operational over three years which will cast aside any clouds of hostile takeover for Inter Pipeline.
In early February, Brookfield made a bold bid of cash USD 5.63 billion in order to acquire inter Pipeline.
Since then, it has been trying to procure Inter through some outrageous biddings. Responding to Brookfield’s bidding, inter has launched a strategic review and found exploring a range of options. Inter also pointed out that it expects a better offer for the company or will wait for other alternatives to come forward. In the light of above events, Brookfield has made a revision in its bid where it is expected to go as high as USD 14.48 per share.