Woodfibre LNG says its proposed CAD $1.4-$1.8 billion liquefied natural gas (LNG) export terminal in British Columbia will move forward with construction later this year and the facility is expected to be operational by 2023. Woodfibre said it is targeting a final investment decision to build the project this summer.
The Woodfibre plant is on course to be Canada’s first LNG export facility, ahead of 18 other LNG export projects under development, according to government data from Natural Resources Canada.
Royal Dutch Shell recently made a final investment decision to build its CAD $40 billion LNG Canada plant in British Columbia in 2018. LNG Canada is expected to enter service in 2024.
The export terminal is crucial for Canada’s landlocked fossil fuel industry, as demand for natural gas – the cleanest of the fossil fuels – is growing fast around the world as more countries use it to meet increasing energy consumption and wean their power and industrial sectors off dirty coal to cut pollution.
The Woodfibre project is owned by Singapore-based Royal Golden Eagle’s Pacific Oil and Gas (PO&G) subsidiary. This week, PO&G agreed to purchase Calgary-based Canbriam Energy, a privately-held exploration and production company with properties in British Columbia. Woodfibre signed a preliminary agreement last September with a unit of China National Offshore Oil Corp (CNOOC) for the potential offtake of LNG starting in 2023.