LNG World News
Progress Energy Resources Corp, which signed a C$1.07 billion ($1.09 billion) shale gas alliance with Malaysia’s state oil company, is pushing for a consolidated regulatory process for pipelines and liquefied gas export plants, its chief said on Monday.
A big driver for Progress’s deal with Petronas is a plan to build an multibillion-dollar LNG plant on the West Coast to take all of the shale gas production from the partner’s lands in the North Montney region of British Columbia….
Progress Chief Executive Michael Culbert said federal and provincial authorities should consider combining regulatory proceedings for multiple plants and pipelines, with so many proposals now in the works.
The current pipeline capacity to British Columbia’s Kitimat region is about 100 million cubic feet a day, far below what will be required to support an export industry, he told reporters after a speech to the Canadian Association of Petroleum Producers investment symposium.
Northeastern British Columbia’s shale fields contain more than enough natural gas to feed a myriad of West Coast export terminals in the works, energy executives said at an industry conference Monday.
But some say collaboration may be necessary to ensure the gas makes its way across the Pacific in the most cost-effective way possible.
Penn West president Murray Nunns …said he sees the various LNG proposals joining forces at some point.
“The scale of the initial projects at a (billion cubic feet) or two probably isn’t suitable relative to the size of the resource in Western Canada,” he told reporters.
“I think in the end, it may only end up as one or two facilities but I think they’ll be substantially larger than what’s been considered.”