Hardisty chosen as Gibson Energy’s operations centre

The people of Hardisty and area can rest easy knowing their town will remain viable for years to come after Gibson’s Energy announced it will be positioning itself in the community.

Four municipalities including Hardisty, Flagstaff County, Sedgewick, and the MD of Provost, have partnered together to lobby the company hard to keep jobs in the area.

Their hard work combined with a feasibility study has paid off as the company announced on March 1 about its plans.

“We’re ecstatic,” began Hardisty Chief Administrative Officer (CAO) Sandy Otto, “because their employees are a huge catalyst in our communities. I mean they are the ones that lead our culture, our recreation activities.

“They sit on our fire department plus their families support our community keeping our schools viable so if we were to all of the sudden lose 30 employees, that would be a significant hit to not just Hardisty but even the surrounding communities where these people live.”

Hardisty will be home to the company’s control room and operations centre while Sedgewick will have a space for their backup operations, totalling $20 million.

The decision to stay and expand has secured 30 existing jobs and simultaneously created 40 or more positions.

The CAO views this as a huge win for not only Hardisty and Sedgewick but also rural Alberta in general.

“To be known that we can actually carry on that commercial activity here, you know, hopefully, that kick starts maybe some other companies into thinking that rural Alberta is a good place to be able to put your corporate location,” said Otto.

Long term benefits are expected to stretch over the next 40 to 50 years as this facility solidifies itself even more in the community.

“Administration and control rooms can always be moved but they are going to be investing that kind of capital I believe that that means they are here for the long term which helps us as a community for sure,” she said.

The sanction of 500,000 barrels of new tankage at the Hardisty Terminal under a long-term agreement with an investment grade customer will take place as well as the closing of the divestitures of Wholesale Propane and noncore Environmental Services North, and continued execution on its infrastructure growth projects.

“We continue to demonstrate very strong execution on our infrastructure growth projects, with three new tanks totalling 1.1 million barrels at our Hardisty Terminal as well as the Viking Pipeline entering service ahead of schedule and in-line with budgeted capital,” said Steve Spaulding, President and Chief Executive Officer of Gibson Energy Ltd.

“In addition, the remaining tanks currently under construction at our Hardisty Terminal are ahead of schedule and we have also sanctioned the construction of an additional tank, underpinned by a long-term agreement and consistent with our outlook of two to four tanks per year over the medium-term.”

In mid-February 2019, Gibson Energy successfully placed the first phase of development at the Top of the Hill portion of the Hardisty Terminal into service ahead of schedule with capital costs in-line with the budget.

With the three tanks from the first phase at the Top of the Hill adding an incremental 1.1 million barrels of storage, the Hardisty Terminal has reached an aggregate storage capacity of 10 million barrels.

The company has also sanctioned an additional five tanks under long-term agreements, comprising an incremental 2.5 million barrels of storage, which are expected to enter service starting in late 2019 and through 2020.

Construction of both the second and third phases at the Top of the Hill continue to progress and are currently tracking ahead of schedule.

Gibson is a Canadian based oil infrastructure company with its principal businesses consisting of the storage, optimization, processing and gathering of crude oil and refined products.

Headquartered in Calgary, the company’s operations are focused around its core terminal assets located at Hardisty and Edmonton and also include the Moose Jaw Facility and an infrastructure position in the U.S.


Terri Huxley

ECA Review

About the author

ECA Review