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B.C. to push for construction of more Liquid Natural Gas plants

The B.C. Government has announced that it is: "adopting a more aggressive approach to the development of the natural gas sector."


The B.C. Government has announced that it is: “adopting a more aggressive approach to the development of the natural gas sector.”

As part of that initiative B.C. is going to promote the liquefied natural gas (LNG) industry, including supporting the development of an LNG plant in Kitimat to be operational by 2015.

B.C. Premier Christy Clark said that a priority in promoting the LNG industry will be to accelerate the lengthy permitting process for large scale production facilities. The government wants to remove barriers and secure investment for up to three LNG plants by 2020.

The Kitimat terminal, proposed by Apache Canada, EOG Resources and Encana Corporation, is located on Haisla Nation territory. It has already received environmental approvals, as has the Pacific Trail Pipeline that will take the gas from the Western Sedimentary Basin to the Kitimat plant. The idea is to export the LNG to the Asia Pacific Region. Currently, the National Energy Board is considering an application by Kitimat LNG for a 20-year licence to export natural gas.

The Kitimat plant and pipeline are expected to each create 1,500 persons years of work during construction.

Natural gas can be cooled to minus 160 degrees Celsius, which enables it to be transported to overseas markets in liquid form.

The demand for natural gas worldwide is expected to increase by 44% by 2035. Natural gas from North America has a cost of about $4 per thousand cubic feet, versus US $16 in Japan and Korea.