Project comes out of its shell

Details of one of the pipeline projects to supply a planned liquefied natural gas (LNG) plant at Kitimat emerged last week

  • Oct. 28, 2012 8:00 p.m.

Details of one of the pipeline projects to supply a planned liquefied natural gas (LNG) plant at Kitimat emerged last week as officials from Coastal GasLink held public sessions and met with local government officials.

The TransCanada Corporation pipeline would run 700km from gas fields in northeastern B.C. to an LNG plant, called Canada LNG that is  owned 40 per cent by Shell Canada with state-owned Korea Gas, state-owned Petro-China Company and Mitsubishi each taking 20 per cent.

Estimates place the cost of the Coastal GasLink pipeline at $4 billion.

“We’re meeting with communities near the conceptual corridor,” said Coastal GasLink official Jaimie Harding, adding there are 16 communities within four regional districts along the pipeline’s route. The pipeline would also travel over traditional First Nations territory.

At 48 inches in diameter, the pipeline would deliver at least 1.7 billion cubic feet of gas a day to the Canada LNG plant which, based on two processing units, is scheduled to initially export as much as 12 billion tonnes of LNG a year.

Should the pipeline move to the construction phase, an estimated 2,000 to 2,500 jobs would be created, particularly equipment operators, welders, mechanics, truck drivers and labourers.

It is estimated to, once running, generate $17 million in property taxes for regional districts, with $2.5 million flowing to the Regional District of Kitimat Stikine.

The pipeline and plant require environmental approval and officials from each say  project details will be filed this fall. An application has already been made for an export licence.

 

Editors Note: An earlier version of this story stated that an estimated 3,000 – 3,500 jobs are expected during the construction phase. In fact, that estimate is closer to 2,000 – 2,500

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