The National Energy Board (NEB) has approved applications for four projects to export liquefied natural gas (LNG) for a period of 25 years. The following projects were issued with exporting licences:
- Prince Rupert LNG Exports Ltd, for a maximum term amount of 824.58 109 m3.
- Pacific NorthWest LNG Ltd, for a maximum term amount of 798.96 109 m3.
- WCC LNG Ltd, for a maximum term amount of 1103 109 m3.
- Woodfibre LNG Export Pte. Ltd, for a maximum term amount of 85.52 109 m3.
Issuance of the licences to export LNG is subject to the approval of the Governor in Council.
Innovations in gas production technology have seen a significant increase in the Canadian gas resource base and North American gas supply. One of the major impacts of this increase is lower demand for Canadian gas in traditional gas markets in the United States and eastern Canada, resulting in the Canadian gas industry seeking to access overseas gas markets through exports of LNG.
When evaluating LNG export licence applications, the NEB considers if the quantity of gas proposed to be exported is surplus to Canadian requirements, taking into account trends in the discovery of gas in Canada. Each application is assessed on its own merits. The NEB determined that the quantity of gas proposed to be exported for each application will be surplus to Canadian requirements.
The NEB is satisfied that the gas resource base in Canada, as well as North America, is large and can accommodate foreseeable Canadian demand, the LNG exports in these applications, and a potential increase in demand. The Canadian natural gas market will continue to respond appropriately to changes in supply and demand.
Adapted from press release by Ted Monroe
Read the article online at: https://www.lngindustry.com/lng-shipping/17122013/canadian_neb_grants_four_lng_export_licences/