Shell’s LNG Canada holds open house for Kitimat

The Shell LNG Canada project officially opened its Information Centre at the old Methanex site offices in Kitimat on Tuesday, June 25, 2013.  About  180 people attended the event, which included a barbeque, kids activities with face painting,  a tour  of the office/information centre and a chance to  community to meet the LNG Canada project team. Shell’s partners in LNG Canada are Mitsubishi, PetroChina and Korea’s Kogas.

 

Sammy Robinson

Samuel “Sammy” Robinson, Chief Jassee of the Haisla Nation, offered an opening prayer and welcoming remarks on behalf of the Haisla for the project in Haisla traditional territory (Robin Rowland)

Rob Seeley

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

LNG Canada project Director Rob Seeley makes opening remarks. “We are confident that the Shell-led LNG Canada Project Team has the combined expertise to safely and successfully design and operate this project. We thank you for welcoming us to your community and look forward to working together to develop a project that we can all benefit from and be proud of.” (Robin Rowland)

Craig Jackson

LNG Canada’s Craig Jackson explains shipping issues to Kitimat residents touring the LNG Canada open house. (Robin Rowland)

Seiichi  Tsurumi

LNG Canada’s Seiichi Tsurumi speaks to Kitimat residents touring the information centre. (Robin Rowland)

Watching video

Kitimat residents touring the information centre watch a video on LNG tankers. (Robin Rowland)

 

LNG Canada building Kitimat

The LNG Canada information centre and office building during the open house. (Robin Rowland)

First Nations, environmentalists and ‘rednecks’ stand together opposing Gateway, witness tells Kitimat JRP hearings

 

Members of the Joint Review panel make notes at Kitamaat Village (Robin Rowland)
Members of the Northern Gateway Joint Review Panel, left to right, Kenneth Bateman, chair Sheila Leggett and Hans Matthews make notes at the June 25, 2012 hearings at the Haisla Recreation Centre, Kitamaat Village. A map of Douglas Channel can be seen behind the panel. (Robin Rowland/Northwest Coast Energy News)

“This will be the first project in Canadian history to have First Nations, environmentalists and, for a lack of a better term, rednecks standing together in protest,” that sentence from Katherina Ouwehand summed up the first day of public comment testimony Monday, June 25, 2012, as the Northern Gateway Joint Review Panel returned to the Haisla Recreation Centre at Kitamaat Village.

Ten minutes isn’t that long. Ten minutes is the time that the Northern Gateway Joint Review Panel gives a member of the public to express their opinion on the controversial Enbridge project that would pipe oil sands bitumen from Alberta through the port of Kitimat to Asia.

Ten minutes is sufficient if you know what you’re talking about, if you’ve done your homework and rehearsed presentation so it can comes in right on time.

Ten minutes can be eternity if you’re an Enbridge official sitting silently at a nearby table as people who do know what they’re saying tear apart your public presentations, your multi-million dollar ads and the thousands of pages the company has filed with the Joint Review Panel. Or perhaps, as some at the public comment hearings pointed out, those ten minutes mean little if Prime Minister Stephen Harper has already decided the pipeline will go ahead no matter what, and thus any recommendation from the JRP has little credibility.

The first witness to appear before the public comment hearings on Monday afternoon was someone who knows all about the role of human error in accidents, Manny Aruda, an Emergency Response Team leader at the Rio Tinto Alcan smelter.

Aruda began by commenting, “To be clear, I do not belong to any environmental or radical organization, although I do recycle and occasionally I do eat granola.” His responsibilities at RTA include overseeing anything related to an emergency response, including dealing with spills and reporting the spills. Before that he worked at Methanex first in operations as a field operator and then as an ammonia control room operator. He also volunteers as a Search Manager for Kitimat Search and Rescue.

Talking about his time in the control room at Methanex, Aruda said, “I worked in the state-of-the-art chemical plant which is constantly being updated with the newest instrumentation. No matter how many safety features are in place, human error could supersede. Incorrect wires were cut causing plants to shut down; drain lines were left open during start-up causing methanol to go into the effluent system and eventually into the ocean; pigs [robots that operate inside pipes] are used to clean pipelines that were supposed to be collected at the end of a line at the wharf, and over-pressurizing of the line and mental error, leaving a valve open and the next thing you know pigs really do fly right into the ocean.

“Enbridge has spoken many times about how they’ll use smart pigs. Perhaps their smart pigs will know when to put the brakes on and stop.

Humans weak link

“The bottom line is that no matter what state-of-the-art infrastructure, instrumentation, safety

Manny Aruda
Manny Aruda takes some water after testifying before the Northern Gateway Joint Review Panel at Kitamaat Village, June 25, 2012. (Robin Rowland/Northwest Coast Energy News)

measures are in place human decisions or lack of decisions will affect the outcome. Humans are the weak link.

“There is an enormous pressure from management to keep plants and pipelines running. Control room operators are most at risk on start-ups and shutdowns, when conditions are changing rapidly. When a suspected issue arises it requires interpretation and analytical skills. These skills are relative to the amount of knowledge and experience of the individual.

“When in the control room you can’t see, hear or smell what’s going on outside, this is why the field operator is so valuable and utilized to go out in the field to verify a level, check a pump status, a pressure reading, identify leaks, et cetera.

Despite what some people may believe, it’s not black and white. There’s not a red Staples easy button flashing indicating that a spill is happening.

“When in the control room you can’t see, hear or smell what’s going on outside, this is why the field operator is so valuable and utilized to go out in the field to verify a level, check a pump status, a pressure reading, identify leaks… Despite what some people may believe, it’s not black and white. There’s not a red Staples easy button flashing indicating that a spill is happening.”
Any deviation from normal operations is subject to interpretation by the control room operator, “a human, the weak link,” Aruda said. He added: “Industry can continue to make improvements and make things more and more idiot-proof. History has shown that better idiots will come along.”

He told the JRP that the long Northern Gateway pipeline through remote mountain passes would have no field operators available to check every kilometre of the line to verify what the control room operator thinks is happening.

Like other witnesses, Aruda pointed to the Enbridge spill at Marshall, Michigan, where four million litres were spilled into a river in a populated area. “The spill went unnoticed due to human error,
the weak link.”

He testified that he has spent “hundreds of hours looking at Enbridge’s risk assessment,
management of spills, emergency response,” and then he said from the point of view of an
emergency response team leader, “reading these documents has flabbergasted me.” He said Enbridge’s risk management was “seriously deficient and woefully lacking in substance. They do not take into consideration the rugged terrain, the climatic conditions and dangers of fast flowing moving water.”

He said Talmadge Creek that feeds the Kalamazoo River, the location of the spill in Michigan, flows at much slower rate than the Kitimat River. At Kalamazoo, he said, four million litre oil spill moved 39 miles downstream contaminating everything in its path and it was contained two days later.

“It took Enbridge two days to deal with a meandering Kalamazoo River spill. Enbridge has stated in their risk assessment and management of spills they can contain a spill in the Kitimat River within two to four hours. This is irresponsible and inaccurate statement with no associated details.

It rains a lot in Kitimat

“To be fair, the Marshall spill happened at the worst possible time when the Kalamazoo River flows were at flood stage, causing oil to be deposited high on marshes and banks. This caused widespread contamination in the area. The Kitimat area also has high periods of flows and flood stages. It’s called, May, June, September, October and November. I’m not sure if you’re aware, but it rains here, a lot.

“In a worst-case scenario for the Kitimat River, Aruda said, based on events of September 2011, “heavy rain caused a dramatic increase in river levels within 24 hours. This is a normal occurrence. And the river widens by 75 yards in some locations. I have personally witnessed tree after tree, including 100 foot trees with full root balls 20-feet in diameter barrelling down this river. The Kitimat River flow at that time, 72,000 cubic feet a second, [was] some 18 times more than the Kalamazoo River. There’s not one qualified incident commander that would even consider sending out emergency responders into that raging river.”

He said that even during a moderate rise of the river, booms are not effective because of all the debris floating down the river.

Aruda said, “I invite anyone who thinks this oil spill can be cleaned up effectively to drift down the river with me to see for themselves how impossible a task that would be.” He noted that Enbridge has spent $765 million in clean-up costs, and while some parts of the Kalamazoo River have recently been opend for recreational use, other parts remain closed for clean-up.

He repeated his belief that Enbridge’s response plans are insufficient and concluded by saying, “Other pipelines and transmission lines have succumbed to the forces of nature in this area without any long-term environmental impacts. Sadly, this will not be the case if oil spills here.”

A later witness was Terry Brown, a former project engineer at Eurocan. Brown began by describing his love for sailing the Douglas Channel for the past 28 years. In one instance, Brown said, “ One extra-special night was when the ocean waters were disturbed and the phosphorescence was a glow like fireworks. We were seldom alone on the water as we often saw, heard and smelled seals, sea lions, orcas, and humpback whales, just like a huge aquarium but all to our own and so secluded.

“We not only stayed on the surface but some of our family engaged in scuba diving. What a joy to see so much life, crabs, fish, and shrimp, sea anemones, sea lions and much more. What a gorgeous dive it was as our daughter Stacy and I went down deep on the wall at Coste Rocks to see many different life forms hanging in our view. Later, we circumnavigated the rock and were amazed to see the pure white forms of a large sea anemone.”

Katherina Ouwehand   Murray Minchin  at JRP hearings
Katherina Ouwehand testifies at the Northern Gateway Joint Review hearings as Murray Minchin, the next witness listens, at the Haisla Recreation Centre, Kitamaat Village, June 25, 2012 (Robin Rowland/Northwest Coast Energy News)

 

Things failed

Like Aruda, he then turned to how things can go wrong. “No matter how hard we tried to do our best, things failed or as they often said, ‘shit happens’. Pipes, gaskets would fail; tanks would collapse; equipment would break. We even had SRBs in our stainless tanks. Many items would fail with such power that it would resemble an explosion.

“Lately, I have heard comments on how new gaskets are much better than old. Our experience was the opposite, as old gaskets contained asbestos they had a much better life span than the new synthetic ones.

“My largest project at Eurocan, a 300-tonne per day CMP pulp mill, actually had 10 — that’s it, 10 major failures within the first one to two years after start-up. During my working time, I was also involved in some of the projects to reduce the tainting of the local oohlican fish. This involves a highly cultural activity that the Haisla engaged in up until Eurocan start up in 1970.

“Over the 10 to 15 years spent looking for a solution, some $100 million was spent on related activities. If this much was spent with no success on a minor issue, if you call it that, how can anyone expect to clean up the beaches of a real nasty oil like dilbit?”

There was a third, highly technical presentation from Kelly Marsh, a millwright with the District of Kitimat (as well as Kitimat Search and Rescue volunteer) who presented his mathematical evidence, based on what he said we standard and accepted models that he said showed that Enbridge has vastly underestimated the chances of spill.

For the first time in public, some voiced in public what many in Kitimat have been saying in private, that if Stephen Harper pushes the project, there will be resistance from the residents of Northwestern British Columbia.

Katherina Ouwehand testified, “I am not a bully and I don’t lose my temper easily, but if this project is given the go-ahead by our Prime Minister, they had better be prepared for a huge fight. My thousands of like-minded friends and I will unite in force and do more than
speak up peacefully. There will be many blockades on the pathways of the pipeline and marine blockades in the channel.”

Murray Minchin, a member of Douglas Channel Watch (although everyone at the public comment hearings are testifying on their own behalf) said, “The original organizers of the Clayoquot Sound clear-cut logging blockades hoped that 500 to 600 people would turn out and help them protest. Over 10,000 showed up and almost 1,000 were arrested. Those numbers will be shattered if this project gets steamrolled through the regulatory process.”

Bill C-38

Many of the witnesses voiced their concerns about the Conservative omnibus Bill C-38 which they said would destroy many of the environmental safeguards in the Fisheries and Environmental Assessment Acts.

Margaret Ouwehand said. “I have a great fear. I am afraid of Enbridge because it represents much more than a pipeline; Enbridge is an enabler of all the things that make us ashamed to be Canadian. Do we want a Canada that endangers the whole world by contributing to global warming?

Do we want a Canada that muzzles scientists who don’t say what the oil companies want them to say? Do we feel proud when Canada puts up roadblocks to treaties with other countries so that oil companies can continue to pollute? Do we really want a Canada that prefers temporary foreign workers to be used and, in many cases, abused, just to provide oil companies with cheap labour? Wouldn’t it be more ethical to encourage immigrants to come to Canada to make permanent homes and actually contribute to the country?

“Once we were proud of Canada’s leadership in protecting the environment, both in Canada and world-wide. Now we have sold out to the highest bidders and by so doing we are jeopardizing our very sovereignty. We cannot enter into agreements to limit pollution because the big oil companies who own our resources won’t allow it.

“Once we were the world’s good guys, the peacekeepers, the ones who were caretakers of the environment and of endangered species. Now it’s all about money. Now we are at the bottom of the heap, along with other money-grubbers of the world.”

Mike Langegger, who has testified at previous National Energy Board and JRP hearings on behalf of the Kitimat Rod and Gun, testified, “Today I wish to speak to the implications of the Northern Gateway Project will have on my and many coastal families who call British Columbia home and the threat it poses to a generations of culture, lifestyle, relying on healthy and productive environment and ecosystems we currently have.

“My family, along with many resident British Columbians have a strong connection to our natural environment and is as much part of us as we are of it. By nature we are hunters and gatherers who have sustainable harvest from our natural environment over the generations providing for our families. Abundant and healthy fish and wildlife populations in environment that sustained their existence is critical and must be guaranteed.

“Unfortunately, over my lifetime I’ve witnessed commercial and industrial exploitation come and go, each diminishing our areas natural environment and its ability to support wildlife and the many associated values. It is critical that not only negative implications of the Northern Gateway Project be considered but also the cumulative effects of current, proposed, and past exploitation that has or is likely to occur in our area. Often a single negative impact can be mitigated. However, when a series of impacts are allowed to compile, the end result has proven to be devastating.

“Today the Dungeness crab and our local estuary area are deemed as contaminated and not recommended for consumption. The oohlican populations have been wiped out on most of our local area streams. The Kitimat River has been negatively impacted by resource extractions rendering it reliant on hatchery augmentation. Trees on the west side of the valley have died off suspect to pollution; wildlife populations have been impacted and the list goes on.

“We have seen industries come and exploit our area and its resources, profit substantially and leave, only to pass on a legacy of toxic sites and compromised environment. What they have not left behind is any established fund for impacted First Nation’s area residents and stakeholders to manage and reinvest back into our environment for the benefit of habitat, fish, wildlife that has been impacted.

“Ultimately, industry in general has been allowed to exploit, profit, and leave without being held accountable for our forest to correct damage. That’s the history we currently witness here.

“For those of us that call coastal British Columbia home, the existing environment, fish, wildlife, and associated values are the foundation of who we are. It is those values that foster and nurture many family bonds and are the result of cherished memories with loved ones and friends. It is those values that provide a healthy lifestyle and food source. It is those values that support numerous traditions and are the base of revered culture. It is those values that the Northern Gateway Project ultimately threatens to extinguish.”
Transcript Vol.58-Mon June 25, 2012 (pdf)

Blue Horizon obtains injunction to stop Methanex equipment leaving Kitimat site

Old Methanex site, Kitimat BC
A truck enters the old Methanex site, now being dismantled, on the snowy afternoon of January 13, 2012. (Robin Rowland/Northwest Coast Energy News)

Blue Horizon, the company that had  and lost the contract to  dismantle the old Methanex site in Kitimat has obtained an injunction preventing the buyer of the equipment from removing the material from the site by the Kitimat River.

Last November, Ko Yo Development of Hong Kong cancelled its contract with Blue Horizon that would have seen the equipment in the plant dismantled and shipped to China.

Part of the old Methanex site is now operated by Cenovus and is used to ship condensate to the Alberta bitumen sands by rail.

Shell purchased the Methanex site and marine terminal in October, 2011, as part of its plans for a liquified natural gas facility at Kitimat.  At the time of the contract cancellation in November, Shell spokesman Stephen Doolan told Northwest Coast Energy News  “The transaction … does not affect Shell’s purchase of the Cenovus property, nor is Shell involved in any way.” On Friday, Doolan said he had nothing more to add to the original statement.

A news release issued by Blue Horizon says:

Blue Horizon Industries Inc. (“Blue Horizon” or the “Corporation”) (CNSX:BH) announces that its wholly owned subsidiary Blue Horizon Energy Inc. (“BH Energy”), on behalf of its wholly owned division Blue Horizon Contracting, obtained on January 12, 2012 an injunction in the Supreme Court of British Columbia, Vancouver Registry, prohibiting Ko Yo Development Co. Ltd., a Hong Kong incorporated company (“KoYo”) and Guangan Lotusan Natural Gas Chemicals Co. Ltd., a corporation incorporated under the laws of the Peoples Republic of China (“GLN”) from removing any portion of the dismantled ammonia or methanol plants from the Province of British Columbia unless and until KoYo / GLN posts security in court in the amount of $4,180,000 by way of an irrevocable letter of credit or other security acceptable to BH Energy and to the Court.

Mr. Don Allan, President and CEO of Blue Horizon, stated “We are pleased that the Supreme Court of British Columbia ruled quickly and decisively in this matter by issuing the injunction against KoYo / GLN while at the same time awarding significant security for costs and court costs to BH Energy. We are continuing to focus our attention on completing the bid process for a number of new high value dismantling contracts expected to be awarded for execution in 2012 as well as advancing our other operating businesses.”

 

The dispute between Blue Horizon, the Red Deer  based contractor  and Hong Kong based Ko Yo goes back months.   The original contract was awarded in February, 2011, renegotiated in September 2011 and then cancelled in November, 2011.

Bula sign on Methanex site
On the Methanex Project sign at the entrance to the decomissioning site, stencils from Bula.ca, the new contractor, can be seen overwriting Blue Horizon, the former contractor. (Robin Rowland/Northwest Coast Energy News)

The dismantling of the Methanex plant has since resumed with work being handled by a new contractor, Bula Enterprises, also of Red Deer.  A profile of Bula Enterprises on the website shows that  it has extensive construction experience, much of it in the Alberta   oil patch, including projects for Shell Albian, CNRL, Suncor, Conoco Phillips in Fort McMurray. As of late Friday afternoon, Bula had not returned calls seeking comment on how the injunction might affect the deocommissioning.

Ko Yo Chemical (Group) Limited, formerly Ko Yo Ecological Agrotech (Group) Limited, is a Hong Kong based investment holding company. According to a company profile it is engaged in the research and development, manufacture, marketing and distribution of chemical products, chemical fertilizers and bulk blending fertilizers and has a natural gas energy utilization project at Dazhou City, Sichuan Province, China. The company has a number of subsidiaries with similar names.

 

Kitimat Methanex dismantling contract cancelled by Chinese buyer

Kitimat

Updated Nov. 15, with Shell statement
The Chinese company that bought the plant and equipment at the Methanex site in Kitimat has cancelled the dismantling contract according to the company that was doing the work.

Blue Horizon Industries of Red Deer, issued a news release early Monday, Nov, 14, saying that Ko Yo Development had issued a termination notice of the contract. 

Blue Horizon’s parent firm BH Energy says it has

objected to the grounds for termination alleged by Ko Yo
and intends to vigorously enforce its rights and remedies under the
agreement and otherwise available at law against the contracting parties
for amounts owing to date as well as further damages.

Blue Horizon says it was in the final stages of dismantling an ammonia
plant and a methanol plant at Kitimat B. C. for Ko Yo and readying them
to be shipped to China.  The company says that from February 2011 to date, BH Energy has been
paid and or credited by Ko Yo approximately USD $15.9 million of the
$20.4 million contract.

Donald Allan, President and CEO of Blue Horizon, said “We are
disappointed that we will not be given the opportunity at Kitimat to
finish the job for Ko Yo, who are experiencing significant logistical
issues… He added the company would proceed with other projects in other areas.

Ko Yo Chemical (Group) Limited, formerly Ko Yo Ecological Agrotech (Group) Limited, is a Hong Kong based investment holding company. According to a company profile it is engaged in the research and development, manufacture, marketing and distribution of chemical products, chemical fertilizers and bulk blending fertilizers and has a natural gas energy utilization project at Dazhou City, Sichuan Province, China. The company has a number of subsidiaries with similar names.

The contract to dismantle the old Methanex plant was signed in February, 2011 and then renegotiated in September, 2011. (pdf)

Shell purchased the Methanex site and marine terminal in October, 2011, as part of its plans for a liquified natural gas facility at Kitimat. Shell spokesman Stephen Doolan told Northwest Coast Energy News  “The transaction … does not affect Shell’s purchase of the Cenovus property, nor is Shell involved in any way.”

Shell’s go slow approach to Kitimat LNG project means little action before 2015

Energy Environment

When Royal Dutch Shell Canada purchased the Methanex/ Cenovus Energy plant and marine terminal in Kitimat Wednesday, company spokesman Paul Doolan told the media that Shell “is now exploring the potential for an LNG export terminal on the site,” but refused to give any time line for the project.

Now sources have confirmed to Northwest Coast Energy News that at this time it looks as if there will be no major developments in the Shell project until  2015.

Employees of Cenovus were told after the sale announcement that the plant’s condensate operations would be “business as usual” until sometime in  2015.

(After the sale, Cenovus told the media it doesn’t expect changes in
the regular shipments of condensate to change “for the foreseeable
future.” )


As anyone who has gone through a takeover or similar management transition knows, a company’s new management may have ideas that they haven’t discussed with the old regime.

The 2015 date is logical,  however, since 2015 is the projected launch date for the first project, KM LNG partners’ Kitimat LNG project.

There are already two projects in the “pipeline” so to speak, the Kitimat LNG and BC LNG projects. As discussions during the June National Energy Board hearings that led to the approval of the KM LNG export licence last week showed, the two companies must come to an agreement on some of the pipeline capacity coming into Kitimat, sharing “the molecules,” that favourite phrase of natural gas analysts.

Shell will also have to go through the National Energy Board process for granting an export licence.

With energy companies rushing to exploit the shale gas resources in northeastern BC and in Alberta. and growing demand for the natural gas in Asia, transportation of the natural gas is a big question, since it appears Shell and its partners will have to build new pipelines since the existing pipelines into the Kitimat region will be at full capacity.

Where will that new pipeline be built? How will that new pipeline be built? That question is already being widely debated in Kitimat. Ever since Enbridge has announced that it too is interested in joining the natural gas export boom, the question has been: could a natural gas pipeline replace the proposed Northern Gateway bitumen pipeline or does Enbridge intend to build two pipelines? If it is the latter, Enbridge, and possibly Shell, can expect years of hearings, protests and delays because while people in northwestern BC are generally accepting of natural gas projects, there is fierce and still growing opposition to the bitumen pipeline.

Shell confirms purchase of Methanex site, marine terminal, in Kitimat for LNG project

Energy

600-methanexsite.jpgThe former Methanex site is seen the red square in this map of the Kitimat service centre prepared by Enbridge as part of its Northern Gateway  pipeline proposal and filed with the Joint Review panel. The yellow line is the proposed Enbridge bitumen pipeline. The dark red line  is the proposed pipeline that would feed the Kitimat LNG and likely the BC LNG projects, where the red pipeline route has white, that is the Pacific Trails Pipeline.  See How Kitimat harbour will look if both Northern Gateway and KM LNG go ahead.

Updated Oct. 20, 2011, 0955

Kitimat mayor Joanne Monaghan has confirmed that Royal Dutch Shell has purchased the former Methanex site in  town, “as a first step toward a proposed Liquified Natural Gas facility in Kitimat.”

Monaghan said she met with Shell executives on  Wednesday afternoon, when the long rumoured purchase of the Methanex site was confirmed.

Thursday morning, Shell spokesman Stephen Doolan  said that the company and its partners
also acquired the Kitimat Marine Terminal. Shell’s partners include Korea Gas Corp, Mitsubishi Corp and China National Petroleum Corp, Doolan said.

Both sites were owned by Cenovus Energy which purchased them in 2010  from Methanex  for a reported $40 million.

Monaghan also said that the Shell officials said the company will not be making an announcement of the details of their plans for another few weeks.

If the Shell project goes ahead, it will be the third liquified natural gas project in Kitimat.
The others are KM LNG partners’  (Apache, Encana and EOG) Kitimat LNG plant at Bish Cove and the smaller project from BC LNG.

The Methanex plant on the Kitimat river  permanently ceased methanol production November 1, 2005.  Methanex currently uses the Cenovus terminal in Kitimat to import
methanol to supply customers in western Canada. Cenovus uses the terminal and site to process condensate, used to dilute bitumen, that arrives by ocean tanker and then is shipped by rail to Alberta.

The future of condensate operation has been in doubt since the announcement of  the Enbridge  Northern Gateway project, since it was expected that the Cenovus condensate  operation would have been absorbed into the Enbridge operation. 

If the Methanex/Cenovus site is converted to a full LNG facility, current operations will have to be decommissioned first, Monaghan said.

Multiple sources in Kitimat have been saying for the past month that Shell had purchased the Methanex site, but official conformation only came from the mayor late Wednesday.