2012 Alberta Connects

Transcription

1 2012 Alberta Connects

2 Agenda PCL Market Alberta Market Scott Matheson Director, Business Development, Alberta Labour Challenges Additional Market Influences

3 PCL Market

4 Independent Operating Company Locations Corporate office in Edmonton since 1935 U.S. head office in Denver since ,500 salaried staff Up to 10,000 hourly tradespeople 55% work in Canada 45% work in US

5 Vision and Values aspiring to be the most respected builder, renowned for: excellence Honesty Integrity Respect Dynamic Culture Passion leadership unsurpassed value

6 Company-Wide Safety TRIR LTFR

7 Billions $CDN Consolidated New Work For All Independent PCL Operating Companies ,8 7,8 8,0 7,1 5,3 5,5 5,9 5,2 5, Original Plan Actual Forecast to October 2011 New Work to August 2011 ($6.0B) Forecast

8 Millions Consolidated New Work For Western Canada Independent PCL Operating Companies , , , , , , , Original Actual Forecast to New Work to Plan October 2010 July 2010 ($4.3B)

9 Civil Projects

10 Transportation

11 Commercial

12 Healthcare

13 Institutional

14 Miscellaneous

15 Industrial

16 Chemical Manufacturing Company Name Project Description Cost in $Millions Construction Schedule BHP Billiton Jansen Potash Mine Dow Chemical Plant Upgrades $ Iogen Ecoethanol Plant $ Swan Hills Synfuels LP Coal Gasification Plan Forestry Nova Chemicals Polyethylene Plant Expansion $ Alberta Pacific Forest Industries Plant Upgrades $ Millar Western Forest Products Ltd. Bioenergy Project $ West Fraser Mills Ltd. Recovery Boiler & Pulp Machine Upgrades $ Mining BHP Billiton Jansen Potash Mine $ 2, Coalspur Mines Ltd. Vista Thermal Coal Mine $ Imperial Oil Resources Exxon Mobil Key Oil Sands Utilities Expansion Grande Cache Coal Corp. Underground Mine development $ AltaGas Ltd Natural Gas Processing Plant $ Sherritt Gordon Dodds-Roundhill Project $ Imperial Oil Resoures Exxon Mobil Kearl Oil Sands KEIP Modules Oil Sands Swan Hills Synfuels LP Coal Gasification Plant $ 1, Alberta Oilsands Inc. Clearwater SAGD $ 415 BP Canada / Value Creation Inc. Terre de Grace SAGD $ 3,500 Canadian Natural Resources Ltd. Horizon Oil Sands Phases 3 & 4 $ Canadian Natural Resources Ltd. Kirby South In-Situ $ 1, Cenovus Energy Borealis SAGD $ 1, Cenovus Energy Christina Lake Thermal Expansion $ 2, Cenovus / ConocoPhillips Foster Creek Phases F, G & H $ 2, North West Redwater Partnership Bitumen Upgrader Phase 1 Cenovus / ConocoPhillips Narrows Lake In-Situ $ 1,600 Suncor Energy Inc. Voyageur Oil sands Third Upgrader ConocoPhillips Surmont Phase 3 $ 2, Devon Canada Corp Jackfish Phase 3 $ 1, Dover Operating Corp Dover Commercial Oil Sands Phase 1 $ 2, E-T Energy Ltd Poplar Creek Bitumen Extraction $ Fort Hills Energy Corp Fort Hills Oil Sands Mine $ 9, Foster Wheeler Karnalyte $ Grizzly Oil Sands ULC Algar Lake SAGD $ Harvest Operations Corp BlackGold Oil Sands Project Phase 1 $ Husky Energy Inc. / BP PLC Sunrise Thermal Project Phase 1 $ 2, TransAlta Corp. Sundance 7 Husky Energy Inc. / BP PLC Sunrise Thermal Project Phase 2 $ 1,900 Imperial Oil Ltd. Nabiye Oil Sands Project $ 1, TransAlta Corp. - Project Imperial Oil Resources / ExxonMobil Kearl Oil Sands Utilities Expansion $ Imperial Oil Resources / ExxonMobil Kearl Oil Sands KEIP Modules $ Pioneer Carbon Capture Ivanhoe Energy Tamarack Bitumen Project Phase 1 $ 1, Japan Canada Oil Sands / Nexen Hangingstone SAGD $ 1, North West Redwater Partnership Bitumen Upgrader Phase 1 $ 4, Opti Canada / Nexen Inc. Long Lake South SAGD Phase 2 $ 2, Osum Oil Sands Corp Taiga Oil Sands Project $ 1, Petrobank Energy & Resources Seal Lake Operations $ Shell Canada Athabasca Oil Sands Debottleneck $ 2, Shell Canada / Chevron / Marathon Oil Quest Carbon Capture & Storage $

17 Alberta Market

18 Building Construction ($2002 millions) Industrial Commercial and institutional

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22 What does this all mean for Alberta? New inter-provincial and international competitors Scarcity of people resources Pressure on project budgets Construction cost escalation Cost of living increases

23 Labour Challenges

24 Index 2009 = 100 Non-residential Construction Employment Index for Selected Trades in Alberta History Scenario Gasfitters Sheet metal workers Steamfitters, pipefitters and sprinkler system installers Welders

25 Index 2009 = 100 Non-residential Construction Employment Index for Selected Trades in Alberta History Scenario Glaziers Painters and decorators Plumbers Refrigeration and air conditioning mechanics

26 The Available Workforce Unemployment Unemployment hit all-time lows in 2007 and 2008, far below the long-term trend value. The 2009 recession more than tripled the unemployment rate. A strong recovery in 2010 quickly returned unemployment to more normal levels. Increased employment growth from 2012 to 2014 will require supply from foreign sources. From 2015 to 2018, the labour force will continue to struggle to keep up with sustained employment growth. The mobility of the provincial workforce to meet demand requirements will not provide the workers needed.

27 Change in Labour Force Alberta

28 Change in Labour Force Quebec

29 Total Labour Forecast - Alberta

30 Total Labour Forecast - Quebec

31 Labour Requirements Large Industrial Projects

32 Petrochemical Industry Market Impact $1.07 trillion investment $3.56 trillion economic impact generated across Canada (GDP) $408 billion federal tax revenue $282 billion provincial tax revenue $429 billion provincial royalties

33 Labour Market Hot Spots

34 Our Labour Marketplace Canada requires more than 300,000 new construction workers by ,000 retiring by 2020 Competition for skilled trades Commercial construction projects delivered through P3 s continues to increase Emphasis on recruiting youth, women, Aboriginal workers and immigrants will continue to be a priority

35 Additional Market Influences

36 Property Escalation Real Estate escalation Residential 0 % to 5 % Commercial 5 % to 15 % Industrial 5 % to 10 % Private developers are starting to put new product on the market

37 Construction Escalation Contractors below capacity Wage escalation Productivities Competitive bidding Escalation 3.5 % %

38 The Economic Environment Still over $100 Billion in major non-industrial projects on the books Power transmission line projects Civil infrastructure and transportation projects Private sector investment increasing

39 The Economic Environment Alberta Government Investment $5.0 B Infrastructure $3.5 B Highway and Transportation $2.5 B Healthcare $1.2 B Education $1.0 B Community and Housing $2.5 B Government Facilities $0.8 B Water/wastewater Management

40 QUESTIONS?