The Alexander First Nation invested C$15 million (US$11 million) to open a polyethylene pipe plant in Edmonton, Alberta, becoming the first tribe to extrude pipe in Canada.
Alexander Tubular LP is housed in a 40,000-square-foot leased space that opened in April with 15 employees running four high density PE extrusion lines.
The first products are for the water and gas pipe markets, CEO Tony Quinlan said in an email to Plastics News.
Alexander Tubular is a division of the Alexander Business Corp. (ABC), which includes a dozen other tribal-run business, such as Alexander Valve and Supply, Alexander Chemical and Alexander Safety.
A part of the Cree ethno-linguistic group and a member of the Yellowhead Tribal Council, Alexander First Nation elders hosted a traditional pipe ceremony in March with the smoke symbolizing "solidarity and trust as Alexander Tubular embarks on their new journey."
"These new business opportunities are only the beginning. I see Alexander and my community becoming a force to reckon with in the future," Chief George Arcand said in a video of the event.
The tribe's extrusion facility manufactures ¾" to 24" diameter pipe for the gas, water, agriculture, energy and petrochemical sectors with capabilities to supply pipe across North America, Quinlan said.
"Regionally, we are supplying product to water projects in southern Alberta and mining projects in northern Alberta, British Columbia and Saskatchewan," he added.
As development activities increase at Alexander First Nation, the pipe products will be used to meet the tribe's water, telecommunication and Internet needs, Quinlan said, and then he hopes the needs of other tribes and customers far beyond.
"We have the capability to supply piping products to projects across North America via rail at terminal locations close to our operations, via truck at our operations and also through distribution centers North American wide," Quinlan said.
The manufacturing plant has the capacity to expand to six or seven lines depending on the size and configuration, he added.
The number of employees is expected to increase to 30 when it is fully operational. Those jobs are expected to launch careers for some young adults and improve the economic structure of the Nation.
"Job creation is always at the forefront of Nation leadership," Quinlan said. "Alexander Tubular will focus on creating opportunities for Nation members in operations, finance and business leadership."
The money generated from pipe sales will go to Nation members directly and Nation programs to expand housing and health care.
Qinlan said the benefits Alexander Tubular brings are tremendous.
"From job creation to revenue generation — revenue which can be used for Nation infrastructure projects such as housing and health care — the potential that this business brings will be measured for generations," he said.
In the meantime, Nation officials are looking for other business opportunities that align with their four focus areas of employment, training, community development and sales generation.
"We are in conversations with Nations within Canada and the U.S. on business collaboration opportunities," Quinlan said. "We believe the collaborations that are focused on HDPE pipe today will open the doors for new business opportunities for Alexander Nation businesses in the future."
Alexander Nation's project is similar to another tribal business expansion in the U.S.
Last year, the Shawnee, Okla.-based Citizen Potawatomi Nation (CPN) became the first tribe to extrude pipe in the United States, investing $25 million to open a PE pipe plant called Sovereign Pipe Technologies Inc. (SPT).
The tribe is extruding pipe to meet the needs of its tribe members and others for potable water, geothermal and gas gathering products.
Plastic pipe demand will increase at least 5-7 percent year over year for the next 20 years, Jeremy Hohn, SPT's vice president of international sales, said a year ago.