Each month we will focus on projects that will help create more jobs, more profit, and more economic and social opportunities for Alberta and the rest of Canada.
FOCUS: THE RACE TO LNG EXPORTS (PART I)
The North American liquified natural gas (“LNG”) market has evolved substantially over the past two decades. In the early 2000s, the focus in Canada was on planning for future LNG infrastructure in order to import gas as there were significant supply concerns. However, the discovery of unconventional shale gas in the latter part of the decade led to oversupply decreased natural gas prices, and a change of game plan for LNG supply.
The focus shifted from LNG imports to LNG exports. To date, eighteen different projects had been proposed, with British Colombia leading the way with 13 proposals, and the other 5 projects being split up between Quebec and Nova Scotia export ports. In total, 216 million tons per annum of LNG equating to 29 billion cubic feet per day (bcf/d) of natural gas supply were proposed in the early 2010s. Even at 10% of the projected export capacity, it was projected that the addition of $250 million per year to the Canadian economy, and an overall increase of 65,000 blue- and white-collar jobs over the next couple of decades, would be made.
The major project proposals on the BC coast included:
a) Pacific Northwest LNG and the Prince Rupert Gas Transmission Project (Petronas, TransCanada, Sinopec, 3 others);
b) Prince Rupert LNG and the WestCoast Connector Gas Transmission Project (Shell, Spectra) ;
c) LNG Canada Gas and Coastal Gas Link Pipeline (Shell, PetroChina, 3 others); and
d) Kitimat LNG and Pacific Trails Pipelines (Chevron, Woodside Petroleum);
The major project proposals on the east coast including:
a) Goldboro LNG (Peiridaie Energy – Nova Scotia);
b) Bear Head LNG (a subsidiary of LNGL – Nova Scotia; and
c) Energy Saguenay (GNL Quebec)
The future for LNG pipeline, facility construction, and exports looked optimistic.
Join us next month for The Race to LNG Exports: Part II: Battle Ground
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