Keyera Corp., AltaGas Ltd. and CN (NYSE: CNI) announced plans to develop the Alberta Corridor Export Rail Terminal Project, with Keyera investing approximately $240 million in the infrastructure.

The ACE Rail Terminal will be owned and constructed by Keyera on company-owned lands within Alberta's Industrial Heartland, supported by long-term commercial arrangements with AltaGas and CN. The facility is designed to provide transportation capacity of approximately 45,000 barrels per day of propane and butane from the Fort Saskatchewan region to West Coast export facilities.

Construction activities are underway, including land clearing, with an expected in-service date of mid-2028. The timeline aligns with completion of Keyera's KFS Fractionation III project. The investment includes approximately $100 million incremental to Keyera's previously disclosed 2026 growth capital guidance.

The terminal will utilize a unit train capable rail loop design intended to improve loading efficiency and reduce transportation costs compared to traditional rail solutions. The infrastructure is designed to be scalable and able to support transportation of additional energy products as market opportunities develop.

"This project reflects our continued focus on strengthening and extending Keyera's integrated value chain while providing customers with an efficient solution to diversify market access," said Dean Setoguchi, President and Chief Executive Officer of Keyera.

The partnership combines Keyera's rail terminal with CN's rail network and AltaGas' West Coast export platform. Information is based on a company press release statement.