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Project partners pull plug on Aurora LNG

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LNG Industry,

Nexen Energy – a wholly owned subsidiary of CNOOC Ltd – has announced that, alongside Aurora LNG and INPEX Gas British Columbia (IGBC), it has decided to end the Aurora LNG feasibility study, and will stop all investigation activity immediately.

Nexen claims that, over the last four years, Aurora LNG has been carrying out a feasibility study on the liquefaction of gas, and subsequent export of LNG from the northwest coast of British Columbia (B.C.) to Asian markets. Through this study, Aurora LNG has come to the conclusion that the current macro-economic environment is not able to support the development of a large LNG business at the proposed Digby Island site.

The statement claims that Aurora LNG is disappointed in this decision, but remains proud of its work in the region over the last three years, as well as the relationships that it has made with local members of the community, indigenous groups, stakeholders and government. The partners are committed to concluding their activities in the Prince Rupert region in a responsible and orderly manner.

Nexen claims that upstream operations from the partners’ Horn River natural gas assets in northeast B.C. will carry on, and that the partners will also monitor the North American gas market to evaluate future investments in both upstream and downstream sectors, according to market conditions.

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