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ARCHIVED: Natural Gas Development

Royalty program expanded to attract investment

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ARCHIVED: Natural Gas Development Note: This News Release has been archived - the Ministry no longer exists

Royalty program expanded to attract investment

Media Contacts
Lindsay Byers
Media Relations
Ministry of Natural Gas Development
250 952-0617
(flickr.com)
Media Contacts
Lindsay Byers
Media Relations
Ministry of Natural Gas Development
250 952-0617

Backgrounders

Royalty Credit Program has long history of supporting development, jobs

To date, over 200 new or upgraded all-season roads and pipeline projects have been built, or are underway, as a result of British Columbia’s Infrastructure Royalty Credit Program (IRCP). Collectively, these projects represent more than $2.5 billion in new capital spending by industry.

Some recent projects built as a result of the IRCP include:

Farmington Water Resource Hub and Pipelines:

This project was approved as part of the 2012 IRCP program. The facility, built and operated by the Cutbank Ridge Partnership, was completed last year. It collects, distributes and reuses water from natural gas exploration activities near Dawson Creek, reducing the use of fresh aquatic sources.

The project also includes a network of water, produced gas and fuel gas pipelines, as well as pump and compressor stations used to send produced water back to the facility for processing and reuse.

The total project capital investment reached $102 million.

Caribou South Compressor and Pipelines and Caribou East Compressor and Pipeline:

These new pipeline systems deliver natural gas from multiple explorations sites to a processing facility in each area.

The Caribou South project, completed last year, is located northwest of Fort St. John. The Caribou East project also is located northwest of Fort St. John and also was completed last year. Both projects were built and now are operated by Progress Energy.

Collectively, the two projects amounted to $115 million in new capital investment in British Columbia’s natural gas sector.

C-76-D Pipeline:

The project saw construction of 9.2 kilometres of a 30.5-centimetre (12-inch) diameter natural gas gathering pipeline, from various well sites located 140 kilometres northwest of Fort St. John, to a compressor station in the Laprise field.

This project was completed last year. Saguaro Resources invested $7.3 million to build it.

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