- 01Five Alberta gas projects target data centres.
- 02Clairmont advances; others target mid-2029.
- 03BYOG rules pending; KPO holds $11.4m cash, no debt.
KALiNA Power (ASX: KPO) is progressing five gas-fired power projects in Alberta as the Canadian province prepares new rules linking large electricity users with dedicated generation capacity.
The portfolio is aimed at power demand from AI hyperscalers and data centres, with applications across Alberta exceeding 16 gigawatts during the September quarter.
The developer has moved its Clairmont project into an earlier grid connection assessment group while retaining mid-2029 target service dates for its other major projects.
With $11.4 million in cash at quarter-end and no debt, KALiNA is prioritising grid connections, zoning and gas supply work ahead of potential commercial agreements.
New Rules Shape Contracting
Alberta Electric System Operator (AESO) is finalising its Large Load Allocation Process and Bring Your Own Generation (BYOG) framework for data centres and industrial users seeking grid access above 75 megawatts.
Under the proposed BYOG arrangement, large users would need to contract with developers able to add generating capacity at least equal to their requested grid load.
Formal rollout has been delayed by industry consultation, with framework documents expected before 21 December and an initial six-week application window anticipated thereafter.
KALiNA participated in an industry working group that helped inform July draft recommendations, but the final rules and subsequent contracting opportunities remain outstanding.
Regulatory changes during September shifted gas-fired plant environmental reviews towards provincial authorities, while a proposed federal tax measure would allow immediate deductions for qualifying energy investments.
200MW Portfolio Pipeline
KALiNA has progressed its roughly 200MW projects through the AESO connection process, placing Clairmont in Cluster 2 after lodging approximately C$2.6m in security with AESO and energy services firm ATCO.
Its other major projects remain in Cluster 3 with mid-2029 targeted service dates, compared with management’s expectation that new Cluster 4 applicants could face connection dates around 2032 or later.
A separate 100MW interconnection application for Saddle Hills awaits AESO feedback expected before the end of 2026.
Gas access remains constrained on the regulated network for Alsike, Gilby, and Myers, prompting discussions with producers and processing businesses about alternative supplies.
Saddle Hills and Clairmont are situated in areas without those identified gas constraints, while zoning and preliminary engineering milestones are being pursued across the portfolio.
Ongoing Operator Engagement
The developer continues to engage data centre operators, project financiers, gas suppliers and pipeline businesses while assessing two additional potential sites.
“We have not witnessed any slowdown in the engagement from new and existing parties, and the sector activity remains very buoyant in Alberta,” managing director Ross MacLachlan said.
“With all of this coming together, Alberta is certainly becoming a preferred North American jurisdiction for data centre deployment, and we are excited to be playing a commercially important role that will create significant value for our shareholders.”
KALiNA previously sold a 180MW load allocation to Meta for C$18m in late 2025, providing a completed transaction alongside its current development pipeline.
Operating activities used $860,000 during the September quarter, including $495,000 of Alberta project development expenditure, while cash holdings finished at $11.416m, covering approximately 13 quarters of funding at that spending rate.
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