Alberta Premier Danielle Smith is exploring avenues to incentivize pipeline companies to enhance capacity and boost oil and gas exports to the United States. 

While dismissing direct government subsidies, Smith focuses on strategies to “de-risk” potential private sector investments.

"We're looking to make connections with the United States to see their appetite for helping to get more products going into the United States," Smith told reporters on Monday. 

"Maybe de-risking the project involves having an American partner, an American pipeline company, partner with our companies here," she added.

Smith's government's interest in expanding pipeline access to the U.S. aligns with recent geopolitical shifts, particularly the election of a president known for his support of the oil and gas industry.

Following the cancellation of the Keystone XL pipeline project, the Alberta government is keen to identify alternative routes to market. 

TC Energy CEO Francois Poirier has confirmed discussions with the province regarding potential options, including a potential revival of Keystone XL or other capacity expansion initiatives.

South Bow Corp., the owner of the Keystone pipeline network, has expressed support for increasing Canadian crude oil exports to meet U.S. demand. However, the company has not explicitly confirmed its interest in reviving the Keystone XL project.

Despite challenges such as environmental protests and cost overruns associated with recent pipeline projects, Smith remains optimistic about the potential to enhance pipeline capacity without significant government investment. 

This could involve optimizing existing infrastructure through techniques like looping, compression, or twinning pipelines.

Alberta's booming oil production, spurred by recent pipeline expansions like the Trans Mountain project, has fueled the province's ambition to expand its export capabilities. Enbridge Inc. has initiated discussions with its customers about potentially expanding its Mainline pipeline system to accommodate growing Canadian oil volumes.