Market Overview

Government of Canada Approves Licence to Export Liquefied Natural Gas

OTTAWA, ONTARIO--(Marketwire - April 11, 2012) - The Honourable Joe Oliver, Minister of Natural Resources, today announced that the Government of Canada has approved the issuance of a 20-year licence to BC LNG Export Co-operative to export liquefied natural gas from Kitimat, British Columbia. This is the second such licence recently approved by the Government and will enable the export of Canadian gas to markets in Asia.

"This export licence is another example of our Government's commitment to diversifying our energy export markets and strengthening our trading partnership with Asia," said Minister Oliver. "Canada is a safe, responsible, and reliable supplier of energy contributing to global energy security."

The liquefied natural gas facility would be located on the west bank of the Douglas Channel in the District of Kitimat. BC LNG Export Co-operative intends to ship up to 1.8 million tonnes of liquefied natural gas annually to markets in Asia.

Natural gas would be transported to the proposed Douglas Channel terminal on the existing Pacific Northern Gas Pipeline and potentially on the proposed Pacific Trail Pipeline. The proposed liquefied natural gas facility is undergoing an environmental assessment in accordance with the Canadian Environmental Assessment Act. The initial phase of the facility is expected to be in operation by late 2013 or early 2014 and, if it proceeds, would represent the very first liquefied natural gas exports from Canada.

"Canada is well positioned to grow as a global energy superpower," said Minister Oliver. "Projects such as this will show the world that we are serious about getting our energy resources to market."

NRCan's news releases and backgrounders are available at www.nrcan.gc.ca/media.

 

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