Artist’s rendering of LNG Canada’s proposed plant and shipping terminal at Kitimat. (LNG Canada)

U.S., Japanese-based firms named as prime contractor for Kitimat’s LNG Canada plant

In March, B.C.’s government offered new conditions, tax incentives for liquefied natural gas projects

The international consortium behind plans for a liquefied natural gas terminal on British Columbia’s north coast has awarded the contract to design and build the proposed $40-billion project.

A news release from Texas-based Fluor Corp., says it and JGC Corp., based in Japan, have been approved as joint venture contractors for the engineering, procurement and construction of LNG Canada’s planned export facility in Kitimat.

The award of the estimated multibillion-dollar contract is conditional on a positive final investment decision from the project partners led by Shell Canada, along with Mitsubishi Corp., Kogas, and PetroChina.

A post on LNG Canada’s Facebook page says if the Kitimat terminal moves forward, Fluor and JGC would be responsible for directly hiring the majority of the thousands of skilled workers required during the five-year construction period.

Fluor says its team’s design and execution strategy improves the competitiveness and predictability of the Kitimat project and positions LNG Canada for a final investment decision.

The final decision was delayed indefinitely by the consortium in 2016 because of a skid in global LNG prices.

In addition to construction of the Kitimat terminal, LNG Canada is looking to TransCanada Corp. to build a proposed $4.7-billion Coastal GasLink pipeline to carry LNG from the gas fields of northeastern B.C. to the port for shipment overseas.

READ MORE: Kitimat is one step closer to securing LNG plant

READ MORE: Australian company Woodside ends Grassy Point LNG project

In March, B.C.’s New Democrat government offered new conditions and tax incentives for the province’s liquefied natural gas projects, including relief from provincial sales taxes, subject to repayment in the form of an equivalent operational payment.

LNG projects would also be subject to new greenhouse gas emission standards and would have to pay general industrial electricity rates consistent with other industrial users in B.C., but the framework would repeal an LNG income tax introduced under the B.C. Liberals.

The Canadian Press

Like us on Facebook and follow us on Twitter.

Just Posted

UPDATE: No injuries following fire at Terrace seniors’ complex

Old Skeena Bridge is reopened following a fire at Twin River Estates

Ice Demons returning to CIHL for 2018-2019 season

Central Interior Hockey League will return with five teams after shrinking last season

B.C. declares state of emergency as more than 560 wildfires rage

This is only the fourth state of emergency ever issued during a fire season

30-year old woman charged in Scott Avenue homicide

Mila-Ann Watts faces charges of second-degree murder and attempted murder

Gitxsan chiefs ‘close’ territory to recreational fishery

DFO will not enforce the conservation measure that rejects data from Tyee Test Fishery

Interim GoFundMe payments approved in Humboldt Broncos crash

$50,000 to be given to each of the 13 survivors and each family of the 16 people who died

Altidore nets 3 as Toronto drubs Whitecaps 5-2

Vancouver falls 7-4 on aggregate in Canadian Championship final

Ottawa intervenes to get B.C. ball player, 13, to Little League World Series

Before immigration issue was resolved, Dio Gama was out practicing the game he loves Wednesday

Pet goldfish invades small B.C. lake

Pinecrest Lake is located between Whistler and Squamish

Chinese medicine practitioner in B.C. facing historical sex assault charges

71-year old Kit Wong practiced acupuncture from his home during the time of the assaults

Quebec sets aside $900 million for companies hurt by U.S. tariffs

Premier Philippe Couillard says his government will make $863 million available over five years

B.C. woman set for trial in Alberta as animal cruelty investigation continues in home province

Karin Adams was discovered with eight dogs in Alberta weeks after having 16 dogs seized in Quesnel

B.C. company patents Sasquatch, the country’s first homegrown hops plant

Created by Hops Connect, Sasquatch hops are being grown commercially for the first time in B.C.

Most Read