Canada's federal and Alberta governments have signed an agreement with five major oil producers to advance the Pathways CCS project, one of the largest carbon capture initiatives globally. The project aims to capture and store 16 million tonnes of CO2 annually from oil sands operations by 2045, using a shared pipeline network to a storage site near Cold Lake. First phase targets 6 million tonnes by 2035, with phased expansions through 2045. The agreement extends federal investment tax credits for CCS equipment through 2035 and introduces new credits for enhanced oil recovery. Estimated costs have risen to between C$20 billion and C$30 billion, up from earlier projections. Supporters see this as a balance between economic growth and climate action, while critics worry it could prolong fossil fuel dependence.
