Northwestern B.C. LNG project shelved

Douglas Channel LNG would have been located at Kitimat

  • Feb. 25, 2016 6:00 a.m.

WHAT had been one of the more promising planned liquefied natural gas (LNG) projects in the northwest has been shelved.

In a brief statement as part of its 2015 fourth quarter financial results, AltaGas, a partner in the Douglas Channel LNG project at Kitimat, announced the halt.

The decision “was due to adverse economic conditions and worsening global energy price levels,” said AltaGas in its financial results statement released today.

Douglas Channel LNG would have been among the smallest of the various LNG projects planned but also one of the more feasible because it would have fed by the natural gas pipeline already serving the region through Pacific Northern Gas, an AltaGas subsidiary.

The project would have seen the LNG facility built on a floating platform.

Meanwhile, AltaGas said it was advancing on one of its other energy export plans, that being to ship propane from northeastern B.C. on railcars to an export terminal at Ridley Island near Prince Rupert.

It expects to make a final investment decision on that project later this year.






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