Compressed natural gas (CNG) supplier Certarus has inked an agreement with Union Energy Solutions Ltd. that will facilitate the company’s expansion into remote locations in Northern Ontario.
Under the agreement, Union Energy, a subsidiary of Enbridge, would make a commercial investment into Certarus’ infrastructure platform to service Northern Ontario industrial sector, according to a May 23 news release.
Certarus established its first Northern Ontario terminal in Timmins in 2018, and has previously made public its plans for additional terminals in Red Rock and southern Ontario.
Compressed natural gas is viewed as a cost-effective and more environmentally friendly option to bring natural gas to areas that aren’t accessibly via pipeline.
The company said the agreement with Enbridge will allow Certarus to expand its services to additional projects in mining, forestry, and industrial activity currently running on diesel, bunker oil or propane.
"We see the increased adoption of CNG as an opportunity to displace diesel, propane and bunker oil to promote cost savings and reduce environmental impacts,” Certarus vice-president Nathan Ough said in the release.
“Certarus operates the largest bulk CNG trailer fleet in North America and has built over 18 large-scale bulk CNG compression hubs across North America. We serve customers in all major industries across North America and are increasingly supporting customers in Northern Ontario’s key industries that can benefit from the Certarus mobile pipeline.”