LNG Canada was formally announced in May 2012 and is a joint venture comprised of Shell Canada Ltd., Korea Gas Corporation (KOGAS), Mitsubishi Corporation and PetroChina Company Limited that is proposing to build and operate a two billion cubic feet/day liquefied natural gas (LNG) export terminal in Kitimat, British Columbia.
About This Project
In the News:
May 20, 2014: LNG Canada announced CFSW LNG Constructors as its main contractor for the proposed LNG export terminal in Kitimat. CFSW LNG Constructors is a partnership of Chiyoda, Foster Wheeler, SAIPEM and WorleyParsons. The contract covers Front End Engineering and Design (FEED) as well as project execution services, subject to a Final Investment Decision by LNG Canada.
Apr. 30, 2014: Shell Canada Energy (Shell), PetroChina Corporation, Korea Gas Corporation (KOGAS) and Mitsubishi Corporation formalized the Joint Venture Agreement to develop the LNG Canada project. Upon signing the agreement, the joint venture partners’ respective interests in the project have been updated, with Shell now holding 50%, PetroChina 20% and each of KOGAS and Mitsubishi Corporation holding 15%.
Apr. 2, 2013: Project description for the LNG Canada project submitted to the Canadian Environmental Assessment Agency (CEAA) and the BC Environmental Assessment Office (BC EAO). The project description provides a detailed summary and scope of the proposed LNG Canada project. View the project description
Feb. 4, 2013: LNG Canada received approval from the National Energy Board (NEB) for a licence authorizing the export of up to 24 million tonnes of liquefied natural gas (LNG) per year, for a term of 25 years, from its proposed LNG export terminal. View the NEB decision
Shell Canada Limited, Korea Gas Corporation (KOGAS), Mitsubishi Corporation, and PetroChina Company Limited announced in May 2012 the joint development of a proposed liquefied natural gas (LNG) export facility near Kitimat, British Columbia. The LNG Canada project brings together the four companies’ extensive development experience, technical depth, financial strength and access to markets required to be the leading LNG developer in Canada. LNG Canada would connect the abundant supply of Canadian natural gas to growing markets around the world.
The project will consist of the construction and operation of natural gas treatment facilities, liquefied natural gas (LNG) liquefaction and storage facilities, marine terminal facilities, an interconnecting cryogenic LNG transfer pipeline, and supporting facilities/infrastructure.
LNG Canada (a joint venture with Shell Canada, Korea Gas, Mitsubishi, and PetroChina), will initially consist of two LNG processing units referred to as “trains”, each with the capacity to produce six million tonnes per annum (mtpa) of LNG, with an option to expand the project in the future.
The Environmental Assessment for LNG Canada’s proposed LNG facility and marine terminal will go through various regulatory review processes that will meet both B.C. provincial requirements and Canadian federal requirements. To summarize, the Project will require four major regulatory reviews or approvals, including:
- LNG facility, marine terminal and shipping Environmental Assessment
- BC OGC LNG Facility permit
- Transport Canada TERMPOL review
- National Energy Board (NEB) Export License approval
Other ancillary approvals will be required for construction and operation of the Project.
The regulatory review process is expected to take approximately 36 months to complete. The full scope of the environmental assessment will be determined as part of the regulatory process.
The partners decision to move the project into development could be taken around the middle of the decade, with start up around the end of the decade, pending regulatory approvals and investment decisions.
- Excellent site location on B.C.’s largest coastal fjord
- Located on a deep water port – 3rd largest port in B.C.; ice-free year-round
- Located close to existing services offering employment and contracting opportunities for local residents
- Shorter shipping times to Asia over potential U.S. coastal sites
- Co-venture companies with global expertise and experience designing, building and delivering LNG projects worldwide
- Co-venture companies that currently import LNG for domestic use
- Co-venture companies that have the ability to access technological innovation to deliver an energy development project as sustainably as possible
- Provides Canada with access to new export markets and strengthens Canada’s position as a global energy producer
More Information Online
For more information on this project, visit:
It is estimated that LNG Canada would create thousands of jobs during construction and hundreds of permanent, full-time jobs during operations. LNG Canada will seek to hire local, qualified candidates, where possible. In addition, LNG Canada will promote opportunities for qualified, local suppliers and contractors.