Heidelberg Materials Pauses CAD 2 Billion Edmonton CCS Project After Carbon Price Falls Short

Heidelberg Materials has placed its proposed full-scale carbon capture project at an Edmonton cement plant on hold, despite technical feasibility, government support and a storage route being in place, after projected capital costs rose to near CAD 2 billion and expected carbon revenue weakened. The project was designed to capture more than one million tonnes of CO2 annually, making it North America's first full-scale CCS installation at a cement plant. Ottawa had committed to working toward as much as CAD 275 million in direct funding, including an initial CAD 49 million agreement, and the CCUS investment tax credit covers 50% of eligible conventional capture equipment. The economics faltered as Alberta's industrial carbon price is set at CAD 95 in 2026 and CAD 115 in 2030, while tradable compliance credits have reportedly traded at only around CAD 40–45 per tonne. Heidelberg said proceeding was not a responsible use of shareholder capital. Norway's Brevik plant, which began capturing CO2 in 2025, benefited from a state package of roughly NOK 22 billion of an estimated NOK 34 billion covering construction and ten years of operation.