A subsidiary of German chemical company BASF and Canada’s AltaGas have signed a butane-gas deal, the companies said on Wednesday.
BASF Intertrade and AltaGas said they have signed a long-term commercial agreement for the supply of butane via AltaGas and Royal Vopak’s Ridley Island Energy Export Facility (REEF), commencing in 2027.
The agreement will provide BASF with access to competitive and reliable butane from Western Canada, and the partnership will diversify BASF’s cracker feedstock portfolio, the comlanies said.
REEF is a large-scale, open access liquefied petroleum gas and bulk liquids terminal with rail and marine infrastructure currently under construction on Ridley Island in British Columbia.
REEF is expected to be completed by the end of 2026.