Canadian LNG Prospects Dim: IEA
The International Energy Agency (IEA) says prospects for British Columbia’s nascent LNG sector export projects have ‘darkened’ and deferrals are likely. British Columbia faces intense competition from the rest of the world in developing its liquefied natural gas industry in part because projects will not be viable at today's low gas prices, IEA says. In a five-year outlook on global demand for natural gas, the Paris-based agency throws cold water on the B.C. government’s hopes of being home to three liquefied natural gas projects by 2020. Procuring the required skilled labour is more difficult and costlier in this environment. The IEA points to the decline in Asian demand as consumers there found alternatives to pricey LNG…
British Columbia Signs LNG Deal with Petronas
B.C. Premier Christy Clark has announced an agreement in principle with Pacific NorthWest LNG, owned in majority by Malaysia's Petronas, for a liquefied natural gas development on the province's northwest coast. Hailed as “the largest capital investment in B.C. history,” Clark said the LNG framework will result in stable, long-term revenue for B.C. and $36 billion in investment, including a proposal for an LNG facility near Prince Rupert. Both are intended to provide certainty to the Petronas-led Pacific Northwest LNG project and encourage them to make a final investment decision to build a project in British Columbia. Although there are 19 proposed LNG projects in B.C.…
Foster Wheeler's subsidiary awarded contract by LNG Canada
Foster Wheeler AG (Nasdaq:FWLT) announced today that a subsidiary of its Global Engineering and Construction Group, in joint venture with affiliates of Chiyoda Corporation, Saipem S.p.A. and WorleyParsons Limited (“CFSW JV”), has been awarded a contract by LNG Canada Development Inc. (“LNG Canada”) for the provision of front-end engineering design (“FEED”) and project execution services for a proposed liquefied natural gas (LNG) export project, known as the LNG Canada Project, in Kitimat, British Columbia. The contract value was not disclosed. Foster Wheeler’s portion of the FEED phase will be included in the company’s second-quarter 2014 bookings.
Scale of BC's LNG Terminal Plans Questioned
The British Columbia government has staked its future on natural gas exports, banking on a revenue windfall of at least $100-billion. Yet growing market pessimism and a sudden broadside from large gas consumers is casting fresh doubt on the planned scale of the emerging liquefied natural gas industry, reports the 'Financial Post'. The Pacific Northwest LNG project, located on Lelu Island in the Port Edward district, will liquefy and export natural gas produced in northeastern British Columbia by Progress Energy Canada.
Linde to Cooperate with SBM
Germany's Linde formed a global alliance with SBM (of the Netherlands to develop and market floating production, storage and offloading (FPSO) units for the liquefied natural gas industry. Under the deal, Linde contributes gas hardware such as pretreatment, fractionation and liquefaction based on its proprietary process LiMuM. SBM for its part contributes for example marine technology including hull and LNG storage tanks systems, power generation systems, mooring systems, cryogenic offloading systems and its experience of operating FPSO, Linde added. (Source: Reuters)
