Premier Christy Clark

LNG Canada latest to delay investment

Shell-led group with Korea Gas, Mitsubishi and PetroChina can't say when its decision on Kitimat project will come

A consortium led by Shell Canada with support of the Haisla Nation to build a liquefied natural gas export facility near Kitimat is the latest LNG investment to delay proceeding.

LNG Canada announced Monday it would delay indefinitely its decision to proceed beyond 2016. The group started engineering work in 2014, supported by Shell, Korea Gas, Mitsubishi of Japan and PetroChina as venture partners.

The latest delay in piping northeast B.C. gas to the coast for export is a blow to the Peace region, where exports to the U.S. have been replaced by new domestic sources of gas. Oil production increases in the Middle East have driven down the world price of oil, taking gas with it as producers multiply.

LNG Canada CEO Andy Calitz said the partnership remains a “promising opportunity.” and will continue site preparation. It has “important commercial and engineering contracts in place to build the project” and an agreement with TransCanada to construct pipelines to the B.C. Coast.

When the joint venture was announced in 2014, Calitz said there are three key factors in deciding whether to commit to the Kitimat project. They are shifts in the gas price in Asia, the supply and cost of labour to build the plant and pipelines, and construction of gas pipelines through the Rocky Mountains.


Just Posted

VIDEO: Olympic medalist teaches swimming in Hope

Brent Hayden fondly remembers local swim meet from his youth

VIDEO: LEGO fundraiser builds playground purse

Inspired families built LEGO creations, helped Silver Creek build playground

Sunshine Valley songbird releases EP

Fifteen-year-old Ashley Pater has been singing and performing since age 9

Rescue boat theft marks third in 3 years for Agassiz-based SAR team

Eight-metre Spirit of Harrison rescue vessel was stolen Friday night, found Saturday morning

Hope stylist holds hair-athon for a good cause

Shayla Ross donating all proceeds of $10 cuts to the food bank

REPLAY: B.C. this week in video

In case you missed it, here’s a look at replay-worthy highlights from across the province this week

‘A perfect storm’: Gas prices could hit $1.60 by April, expert says

Prices will shoot up to 155.7 cents a litre by end of week or early next week

Most people in B.C. too ‘lazy,’ ‘apathetic’ to prepare for disasters: poll

Less than half of those surveyed aren’t insured for earthquakes and wildfires

Chris Hemsworth goes surfing in Tofino

The Australian actor donned a full body wetsuit to catch some waves on Vancouver Island this weekend

B.C. hospitals receive boost for dental surgery

Disabled people needing general anesthetic wait too long, Adrian Dix says

BCHL Today: Wenatchee Wild on the ropes and Smoke Eaters reeling

BCHL Today is a (near) daily look at what’s going on around the league and the junior A world.

5 to start your day

Kinder Morgan protests heat up, a horse rescued from a muddy field and more

Georgia Viaduct to shut down for the JUNOs red carpet

Awards take place March 25 at Rogers Arena

A frustrated Trump lashes out at special counsel Mueller

In a series of weekend tweets naming Mueller for the first time, Trump criticized the investigation into Russian interference in the 2016 presidential election

Most Read