Updated September 2026
Oil and gas pipelines and railroads are among the transportation infrastructure needed to support the development of Alberta’s vast energy resources. Refineries, plants, and facilities turn oil and gas into marketable products.
Pipelines
The Alberta Energy Regulator (AER) regulates over 449,000 kilometres (km) of pipeline in Alberta. This includes 12,000 km of AUC-regulated natural gas utility pipelines for which the AER conducts surveillance and inspections, incident response, and investigations. The Canada Energy Regulator regulates oil and gas pipelines that cross provincial or federal borders.
In 2025, total oil pipeline capacity available to export from the Western Canadian Sedimentary Basin was 834.8 thousand cubic metres per day, or 5,253 thousand barrels per day. The Trans Mountain Pipeline expansion began operation in May 2024, significantly increasing oil removal capacity. Natural gas pipeline capacity available for export was 9,231.8 thousand cubic metres per day.
Data from the Canada Energy Regulator indicates that Alberta’s oil pipeline infrastructure had an average utilization rate of 93% in 2025. In comparison, natural gas pipeline infrastructure had an average utilization rate of 74% in the winter and 66% in the summer. Over the past few years, pipeline utilization rates have gradually increased, with individual pipeline systems occasionally reaching their capacity limits.
Railroad
North America’s railroad network is extensive, linking most major cities and ports across the continent. This network allows for the movement of hydrocarbon products across borders and into markets. Within Alberta, there are various oil loading terminals that cross the province’s major energy-producing regions and connect to offload terminals across the country. Rail is regulated by Transport Canada under the Transportation of Dangerous Goods Act.
Transportation Comparison
Producers choose between pipeline and rail to transport hydrocarbons based on pipeline capacity, market access, and transportation costs.
Pipelines offer several advantages compared with rail transport:
- Pipelines have lower long-term operating costs.
- Pipelines require less energy to move oil and gas.
- Pipelines have historically lower incident rates compared with other transport methods.
- Generally, pipelines are installed underground, allowing oil and gas to flow with minimal disturbance and requiring less worker intervention.
In contrast, railroads have the following advantages compared with pipeline transport:
- Canada’s railroad system is extensive, providing broad access across the country and into the U.S.
- Rail usage can be adjusted more readily in response to demand, allowing exports to better align with market fluctuations.
Plants and Facilities
Alberta has over 25,000 oil facilities and more than 17,000 natural gas and natural gas liquids plants and facilities, including
- 8 operating oil sands mines,
- 29 thermal in situ oil sands operations,
- 4 active bitumen upgraders,
- 5 refineries,
- over 400 active NGL processing plants,
- 16 fractionation plants (separating out a mix of NGLs into different components), and
- 8 straddle plants.
Figures
Figure S8.3 shows the Western Canadian Sedimentary Basin (WSCB) estimated oil available for removal.
Figure S8.6 shows the Western Canadian Sedimentary Basin (WSCB) estimated gas available for removal.
