CALGARY - A new report released today reveals British Columbia's natural gas reserves are more than double previous estimates.
British Columbia's resource potential is a competitive advantage the province holds over many other areas of the globe competing for growth and investment in liquefied natural gas (LNG).
Industry and investors will find the Montney Formation report very appealing. The new estimate of resources in the Montney means B.C.'s total natural gas potential is now a staggering 2,933 trillion cubic feet (tcf). This potential supply can support development and LNG export operations for more than 150 years.
The study also shows British Columbia has a diverse supply of other petroleum resources, including natural gas liquids and oil.
The report, titled "The Ultimate Potential for Unconventional Petroleum from the Montney Formation of British Columbia and Alberta", can be found online: http://www.empr.gov.bc.ca/OG/Pages/default.aspx
Rich Coleman, Minister of Natural Gas Development -
"The global demand for energy is increasing rapidly and clean-burning natural gas is the solution. Now, more than ever before, B.C. can supply energy needs at home and abroad. The Montney area will support economic activity in our province for a very long time as a supply hub for liquefied natural gas development."
- The Montney Formation is located in northeast B.C., with its boundaries starting south of Fort Nelson and reaching into the Fort St. John area before crossing the border into Alberta.
- This is the first time the gas potential of the Montney Formation has been formally assessed as part of a published joint study.
- Currently there are more than 10 proposed LNG projects in B.C., three of which already have approved export licences from the National Energy Board.
- If five of these proposed facilities move forward, the cumulative gross domestic product benefit to British Columbia could total $1 trillion by 2046.
- LNG export operations in B.C. could create over 100,000 new jobs in British Columbia and new revenues for government to support a debt-free future.
British Columbia's Natural Gas Strategy: http://www.gov.bc.ca/ener/popt/down/natural_gas_strategy.pdf
British Columbia's Liquefied Natural Gas Strategy: http://www.empr.gov.bc.ca/SiteCollectionDocuments/LNGreport_web_130627.pdf
LNG One Year Update: http://www.gov.bc.ca/com/attachments/LNGreport_update2013_web130207.pdf
A backgrounder follows.
Ministry of Natural Gas Development
Joint study increases B.C. reserve estimates
"The Ultimate Potential for Unconventional Petroleum from the Montney Formation of British Columbia and Alberta" is a joint study by Canada's National Energy Board, British Columbia's Ministry of Natural Gas Development, the BC Oil and Gas Commission, and the Alberta Energy Regulator.
It reveals the Montney Formation's (Montney) natural gas potential is one of the largest in North America, with a majority of marketable gas - supply that can be produced and sold on the market - located in British Columbia.
According to study, the expected estimate of 1,965 trillion cubic feet of gas available, often referred to as gas-in-place or GIP, is the most realistic scenario of available reserves in British Columbia. The study also produced low and high scenarios to account for any variance in estimations versus actual supply.
The study's marketable assessment of B.C. portion of the Montney is 271 trillion cubic feet of natural gas.
The expected in-place estimate of natural gas liquids in B.C. is 96,332 million barrels. Oil is estimated at 2,763 million barrels.
A table with a full statistical breakdown of B.C. reserves can be found on page 5 of the report at: http://www.empr.gov.bc.ca/OG/Pages/default.aspx
Ministry of Natural Gas Development