British Columbia Premier Christy Clark and Woodfibre LNG Lead Director, Imelda Tanoto, signed a Letter of Intent to further the growth of liquefied natural gas (LNG) in the province. This is the second agreement of its kind signed during the international trade mission underway.
“Woodfibre LNG is moving forward with their proposal because they understand the scope of the opportunity in British Columbia,” said Premier Clark. “We are building a competitive new export industry in our province - one that will create unprecedented prosperity and jobs for decades.”
“Woodfibre LNG is advancing rapidly towards reaching a final decision on the construction of the Woodfibre LNG project,” said Imelda Tanoto. “Reaching this agreement with Premier Christy Clark is a strong signal to our company that the Government of British Columbia is committed to the success and viability of the LNG sector.”
“We are strengthening global partnerships and working collaboratively with LNG proponents to create new economic opportunities for British Columbia,” said Minister of Natural Gas Development Rich Coleman. “This initiative is another example of our commitment to ensure B.C.’s natural gas supports a growing economy and creates long-term jobs.”
The Letter of Intent reflects the commitment by the Province and Woodfibre LNG to enter into negotiations regarding a Project Development Agreement to secure mutual interests.
The Province has requested that Woodfibre LNG continue to advance their intention to build an export facility in British Columbia and work toward a final investment decision for the project.
Both parties have agreed to assign senior executives to prepare terms of reference for a Project Development Agreement by June 30, 2014, to be negotiated by Nov. 30, 2014.
Woodfibre LNG is proposing to construct a LNG processing and export facility at the industrial site of Western Forest Product’s former pulp mill near Squamish.
To read the Letter of Intent, visit: http://bit.ly/1niTh1D
- The Woodfibre LNG Project is a proposed small-scale LNG processing and export facility, located approximately seven kilometres southwest of Squamish, British Columbia.
- The project would be located on the former Woodfibre pulp mill, which is zoned for industrial use and the District of Squamish’s Official Community Plan designates it for employment and industrial use.
- The site is equipped with:
- An existing FortisBC gas pipeline.
- An electricity transmission line connected to the BC Hydro transmission grid.
- An existing deep-water port for receiving and loading ships.
- In December 2013, the National Energy Board granted Woodfibre LNG a license to export approximately 2.1 million tonnes of LNG annually.
- Pending both provincial and federal environmental assessments, Woodfibre LNG looks to be operational in the first quarter of 2017.
- There are 13 proposed LNG projects in B.C., nine of which already have approved export licences from the National Energy Board, including Woodfibre LNG.
- If five of these proposed facilities move forward, the cumulative gross domestic product benefit to B.C. could total $1 trillion.
- LNG export operations in B.C. could create over 100,000 new jobs if five facilities are built, as well as new revenues for government to support a debt-free future. At peak construction in 2018, the LNG sector will require 58,700 workers.
- The Province recently unveiled a comprehensive strategy - B.C.'s Skills for Jobs Blueprint - to help meet LNG workforce challenges and ensure that apprenticeships, education and training are more in line with labour market demands.
LNG 101: A Guide to British Columbia’s Liquefied Natural Gas Sector: http://www.gov.bc.ca/mngd/doc/LNG101.pdf
For an update on B.C.'s LNG strategy, visit: http://www.gov.bc.ca/com/attachments/LNGreport_update2013_web130207.pdf
British Columbia’s Liquefied Natural Gas Strategy: http://www.empr.gov.bc.ca/SiteCollectionDocuments/LNGreport_web_130627.pdf
For more information on B.C.’s Skills for Jobs Blueprint, visit: www.workbc.ca/skills
More details about the Woodfibre LNG can be found at: http://www.woodfibrelng.ca/
Office of the Premier
Ministry of Natural Gas Development
Manager of Communications