CALGARY, AB, Nov. 1, 2021 /PRNewswire/ - Canadian Pacific
(TSX: CP) (NYSE: CP) will dramatically expand the scope of its
pioneering Hydrogen Locomotive Program with a $15 million grant announced by Emissions
Reduction Alberta (ERA) today. The grant enables CP to increase the
number of hydrogen locomotive conversions in the project from one
to three and add hydrogen production and fueling facilities. The
program will create a global centre of excellence in hydrogen and
freight rail systems in Alberta.
"In expanding this groundbreaking project, CP is demonstrating
its commitment to combatting climate change through transformative
technology," said Keith Creel, CP's
President and Chief Executive Officer. "I am very pleased that ERA
selected this program for a grant and I eagerly anticipate seeing a
hydrogen-powered locomotive move CP customer freight in the near
future."
CP is receiving the 50/50 matching grant from ERA's Shovel Ready
Challenge program. It builds on the $15
million CP already planned to invest in the development
project in 2021.
In December 2020, CP announced it
would design and build North
America's first line-haul hydrogen-powered locomotive using
fuel cells and batteries to power the locomotive's electric
traction motors. With the grant announced today, CP will build upon
its early program research to convert an additional line-haul
locomotive and a yard switcher locomotive. This work will refine
the process of converting diesel-electric powertrains to
hydrogen-electric powertrains over a series of three categories of
locomotive, which collectively represent most locomotives in use
throughout North America.
To support hydrogen locomotive operations, the project will
include installation of hydrogen production and fueling facilities
at CP railyards in Calgary and
Edmonton. The Calgary fueling facility will include an
electrolysis plant to produce hydrogen from water. This facility
will operate on renewable power from solar panels at CP's
headquarters campus and produce zero greenhouse gas emissions. The
Edmonton facility includes a
small-scale steam methane reformation system that will generate
hydrogen from Alberta's natural
gas resources. The system will be constructed to accommodate the
possible future addition of greenhouse gas capture equipment.
"Alberta is investing to lead
the transition to affordable, reliable and clean energy. CP's
initiative represents a highly compelling opportunity to catalyze
the hydrogen economy in Alberta
and around the world," said Steve
MacDonald, CEO of Emissions Reduction Alberta. "The project
will help scale up technology and bring down the costs of deploying
hydrogen to address the critical challenge of decarbonizing the
long haul, heavy-freight sector."
CP's Hydrogen Locomotive Program will demonstrate and evaluate
the technical performance of hydrogen-powered locomotives and
supporting fueling infrastructure in real-world operations. The
program will generate critical industry knowledge and experience
that will inform commercialization and future development.
For more information about CP's sustainability initiatives,
visit sustainability.cpr.ca.
Note on forward-looking information
This news release includes certain forward-looking statements
and forward looking information (collectively, FLI). FLI is
typically identified by words such as "anticipate", "expect",
"project", "estimate", "forecast", "plan", "intend", "target",
"believe", "likely" and similar words suggesting future outcomes or
statements regarding an outlook. All statements other than
statements of historical fact may be FLI.
This news release contains FLI relating, but not limited, to:
the scope of the Hydrogen Locomotive Program; the creation of a
global centre of excellence in hydrogen and freight rail systems;
the anticipated impacts of such developments on CP's operations,
priorities and plans, and certain anticipated future strategies,
plans and goals relating to sustainability.
Although we believe that the FLI is reasonable based on the
information available today and processes used to prepare it, such
statements are not guarantees of future performance and you are
cautioned against placing undue reliance on FLI. By its nature, FLI
involves a variety of assumptions, which are based upon factors
that may be difficult to predict and that may involve known and
unknown risks and uncertainties and other factors which may cause
actual results, levels of activity and achievements to differ
materially from those expressed or implied by these FLI, including,
but not limited to, the following: the fuel efficiency of railways
and CP's operations; CP's ability to implement certain initiatives,
including emissions targets, scenario analyses, risk mitigation
strategies, changes to enterprise risk management and internal
carbon pricing mechanisms; CP's ability to develop North America's first hydrogen-powered
line-haul freight locomotive; the possibility of eliminating
emissions from freight train operations; ATCO's ability to
construct and operate the fueling facilities; future investments in
and the availability of carbon emissions-reduction tools and
technologies including through CP's fleet modernization program and
technology upgrades; the impacts of existing and planned capital
investments; CP's ability to work with governments and third
parties to mitigate the impacts of climate change; the possibility
of eliminating emissions from freight train operations; North
American and global economic growth; commodity demand growth;
agricultural production; commodity prices and interest rates; the
performance of CP's assets and equipment; applicable laws,
regulations and government policies; the availability and cost of
labour on the timelines anticipated and with the capabilities
required, as well as the availability and cost of services and
infrastructure; sufficiency of CP's budgeted capital expenditures
in carrying out CP's business plan; the satisfaction by third
parties of their obligations to CP; the impacts of the novel strain
of coronavirus (and the disease known as COVID-19); and capital
investments by third parties.
We caution that the foregoing list of factors is not exhaustive
and is made as of the date hereof. Additional information about
these and other assumptions, risks and uncertainties can be found
in reports and filings by CP with Canadian and U.S. securities
regulators. Reference should be made to "Risk Factors" and
"Management's Discussion and Analysis of Financial Condition and
Results of Operations - Forward-Looking Statements" in CP's
annual and interim reports on Form 10-K and 10-Q. Due to the
interdependencies and correlation of these factors, as well as
other factors, the impact of any one assumption, risk or
uncertainty on FLI cannot be determined with certainty.
Except to the extent required by law, we assume no obligation to
publicly update or revise any FLI, whether as a result of new
information, future events or otherwise. All FLI in this news
release is expressly qualified in its entirety by these cautionary
statements.
About Canadian Pacific
Canadian Pacific is a
transcontinental railway in Canada
and the United States with direct
links to major ports on the west and east coasts. CP provides North
American customers a competitive rail service with access to key
markets in every corner of the globe. CP is growing with its
customers, offering a suite of freight transportation services,
logistics solutions and supply chain expertise. Visit cpr.ca to see
the rail advantages of CP. CP-IR
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SOURCE Canadian Pacific