If approved, the project would have employed up to 7,000 workers during construction phase. Credit: Bek Greenwood from Pixabay.

Teck Resources has withdrawn an application to build a C$20.6bn ($15.7bn) Frontier oil sands mine project in Alberta, Canada, from the regulatory review process.

The company’s latest move to drop the project comes days before the Canadian Government was to decide on its approval, citing the ongoing debate over climate policy in the country.

Go deeper with GlobalData

Premium Insights

The gold standard of business intelligence.

Find out more

Related Company Profiles

View all

Frontier is a proposed truck-and-shovel oil sands mine located between Fort McMurray and Fort Chipewyan in north-eastern Alberta.

Teck Resources said in a statement: “As a result of this decision, Teck will write down the $1.13bn carrying value of the Frontier project.”

In a letter written to Canada Minister of Environment and Climate Change Jonathan Wilkinson, Teck Resources chief executive Don Lindsay said that the company was disappointed to have arrived at this point.

Lindsay added: “Teck put forward a socially and environmentally responsible project that was industry-leading and had the potential to create significant economic benefits for Canadians.

How well do you really know your competitors?

Access the most comprehensive Company Profiles on the market, powered by GlobalData. Save hours of research. Gain competitive edge.

Company Profile – free sample

Thank you!

Your download email will arrive shortly

Not ready to buy yet? Download a free sample

We are confident about the unique quality of our Company Profiles. However, we want you to make the most beneficial decision for your business, so we offer a free sample that you can download by submitting the below form

By GlobalData
Visit our Privacy Policy for more information about our services, how we may use, process and share your personal data, including information of your rights in respect of your personal data and how you can unsubscribe from future marketing communications. Our services are intended for corporate subscribers and you warrant that the email address submitted is your corporate email address.

“Unfortunately, the growing debate around this issue has placed Frontier and our company squarely at the nexus of much broader issues that need to be resolved. In that context, it is now evident that there is no constructive path forward for the project.”

If approved, the project would have employed up to 7,000 workers during the construction phase and 2,500 workers during the operational phase.

The news agency quoted Alberta Premier Jason Kenney as tweeting: “The withdrawal of Teck’s Frontier Mine application is more devastating news for the Canadian economy, especially for Albertans and indigenous people.”

Canada Prime Minister Justin Trudeau spoke with Kenney about Teck’s decision and reaffirmed the government’s commitment to working with Alberta and the resource sector to create jobs.

Last month, Teck Resources bought the SunMine solar energy facility in Kimberley, British Columbia (BC), Canada.