ATCO subsidiary, Canadian Utilities, granted key approval on multi-billion-dollar pipeline

ATCO subsidiary, Canadian Utilities, granted key approval on multi-billion-dollar pipeline

• Alberta Utilities Commission grants approval of the Need Assessment Application for the Yellowhead Pipeline Project
  
  
• Progressing this strategic energy infrastructure represents a key milestone in ATCO's growth strategy across energy, housing and defence.
  
  
• The project is expected to create 2,000 direct jobs and supports an average of 12,000 jobs annually through related downstream investments. Once operational, the downstream investments are estimated to contribute $3.9 billion* annually to Alberta's GDP. 

CALGARY, AB, Aug. 22, 2025 /CNW/ - ATCO Ltd. (TSX: ACO.X) (TSX: ACO.Y)

ATCO Ltd. (ATCO or the Company) today announced that its subsidiary, Canadian Utilities Limited, has received approval from the Alberta Utilities Commission (AUC) on the Need Assessment Application for the Yellowhead Pipeline Project, marking a major milestone in the development of Alberta's energy infrastructure. 

"This Alberta Utilities Commission decision affirms the strategic importance of the Yellowhead Pipeline in supporting Alberta's long-term energy resilience with infrastructure that will empower communities, enable industrial growth and reinforce our commitment to responsible development across the province," said Nancy Southern, Chair & Chief Executive Officer, ATCO. "I want to commend the Canadian Utilities team for their diligence and integrity in engaging with communities along the proposed route; this thoughtful consultation has been instrumental in shaping a project that reflects both local priorities and broader energy needs."

The Yellowhead Pipeline will strategically expand the capacity of Alberta's highly integrated natural gas transmission system. Spanning just over 230 kilometres from the Peers area to Fort Saskatchewan, the pipeline will deliver more than 1,200 terajoules (1.1 billion cubic feet) of natural gas per day, underpinning economic and population growth within the province.

The Need Assessment Application is the first of two key regulatory filings that require approval from the Alberta Utilities Commission to advance the project. Canadian Utilities' operating entity ATCO Energy Systems will file a separate facilities application later this year to seek AUC approval for construction and operation of the physical infrastructure and expects construction to commence in 2026. 

* Source: Internal study, Oxford Economics, May 2024

About ATCO
As a global enterprise, ATCO Ltd. and its subsidiary and affiliate companies have approximately 21,000 employees and assets of $27 billion. ATCO is committed to future prosperity by working to meet the world's essential energy, housing, security and transportation challenges. ATCO Structures designs, builds and delivers products to service the essential need for housing and shelter around the globe. ATCO Frontec provides operational support services to government, defence and commercial clients. ATCO Energy Systems delivers essential energy for an evolving world through its electricity and natural gas transmission and distribution, and international electricity operations. ATCO EnPower creates sustainable energy solutions in the areas of electricity generation, energy storage, industrial water and cleaner fuels. ATCO Australia develops, builds, owns and operates energy and infrastructure assets. ATCO Energy provides retail electricity and natural gas services, home maintenance services and professional home advice that bring exceptional comfort, peace of mind and freedom to homeowners and customers. ATCO also has investments in ports and transportation logistics, the processing and marketing of ash, retail food services and commercial real estate. More information can be found at www.ATCO.com.

Investor Inquiries 
Colin Jackson
Senior Vice President, Financial Operations 
Colin.Jackson@atco.com
403-808-2636

Media Inquiries
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Manager, Media Relations and Communications
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587-215-9115

Forward Looking Information Advisory 
Certain statements contained in this news release constitute forward-looking information. Forward-looking information is often, but not always, identified by the use of words such as "anticipate", "plan", "estimate", "expect", "may", "will", "intend", "should", "goals", "targets", "strategy", "future", and similar expressions. In particular, forward-looking information in this news release includes, but is not limited to, references to: anticipated benefits to be generated by the Yellowhead Pipeline project, including expanded capacity of Alberta's natural gas transmission system, significant job creation, and significant annual contribution to Alberta's GDP once the project is operational; the anticipated size, specifications and incremental natural gas delivery capacity of the Yellowhead Pipeline project; the expectation that construction on the Yellowhead Pipeline project will commence in 2026; and expectations regarding the scope and timing of facilities application for the project.

Although the Company believes that the expectations reflected in the forward-looking information are reasonable based on the information available on the date such statements are made and processes used to prepare the information, such statements are not guarantees of future performance and no assurance can be given that these expectations will prove to be correct. Forward-looking information should not be unduly relied upon. By their nature, these statements involve a variety of assumptions, known and unknown risks and uncertainties, and other factors, which may cause actual results, levels of activity, and achievements to differ materially from those anticipated in such forward-looking information. The forward-looking information reflects the Company's beliefs and assumptions with respect to, among other things, the growth of energy demand; inflation; the development and performance of technology and technological innovations; continuing collaboration with industry participants, business partners, regulatory bodies and environmental groups; the performance of assets and equipment; the ability to meet current project schedules; and other assumptions inherent in management's expectations in respect of the forward-looking information identified herein.

The Company's actual results could differ materially from those anticipated in this forward-looking information as a result of, among other things, risks inherent in the performance of assets; capital efficiencies and cost savings; applicable laws, regulations and government policies; regulatory decisions; competitive factors in the industries in which the Company operates; prevailing market and economic conditions; credit risk; interest rate fluctuations; the availability and cost of labour, materials, services, and infrastructure; future demand for resources; the development and execution of projects, including projects not proceeding on schedule or at currently estimated budgets; prices of electricity, natural gas, natural gas liquids, and renewable energy; the development and performance of technology and new energy efficient products, services, and programs including but not limited to the use of zero-emission and renewable fuels, carbon capture, and storage, electrification of equipment powered by zero-emission energy sources and utilization and availability of carbon offsets; risks related to the activities of other industry participants, customers, counterparties and/or stakeholders; the termination or breach of contracts by contract counterparties; the occurrence of unexpected events such as fires, floods, extreme weather conditions, explosions, blow-outs, equipment failures, transportation incidents, and other accidents or similar events; global pandemics; geopolitical tensions and wars; and other risk factors, many of which are beyond the control of the Company. Due to the interdependencies and correlation of these factors, the impact of any one material assumption or risk on a forward-looking statement cannot be determined with certainty. Readers are cautioned that the foregoing lists are not exhaustive. For additional information about the principal risks that the Company faces, see "Business Risks and Risk Management" in the Company's Management's Discussion & Analysis for the year ended December 31, 2024.

This news release contains financial outlook information, which is subject to the same assumptions, risk factors, limitations and qualifications set forth above. Readers are cautioned that the assumptions used in the preparation of such information, although considered reasonable at the time of preparation, may prove to be imprecise or inaccurate and, as such, undue reliance should not be placed on such financial outlook information. The Company's actual results, performance and achievements could differ materially from those expressed in, or implied by, such financial outlook information. The Company has included such information in order to provide readers with a more complete perspective on its future operations and its current expectations relating to its future performance. Such information may not be appropriate for other purposes and readers are cautioned that such information should not be used for purposes other than those for which it has been disclosed herein. The financial outlook information that is contained herein was approved and made as of the date of this news release.

Any forward-looking information contained in this news release represents the Company's expectations as of the date hereof, and is subject to change after such date. The Company disclaims any intention or obligation to update or revise any forward-looking information whether as a result of new information, future events or otherwise, except as required by applicable securities legislation.

SOURCE ATCO Ltd.