NEB approves two more LNG export licenses

Two more LNG facilities have received approval for export licenses from the National Energy Board.

AltaGas DCLNG was authorized to export up to a gas equivalent of 1 Bcf per day for 25 years and Kitsault Energy up to 3 Bcf per day of gas, for 20 years.

President of Kitsault Energy Krish Suthanthiran purchased the town in 2005, and it currently is home to only a caretaker.  The current proposed LNG project is estimated to cost $20 to $30 billion and was planned to come online in 2018.  According to an article from Argus Media, Suthanthiran was unable to provide an update on if the project would still meet that start date.

The future of the AltaGas facility also remains unclear.  The plan is to build a floating facility built in China, but the Canadian Boarder Services Agency told AltaGas in the fall that would have to pay a import duty on the floating facility.

The tax would be 25 per cent on the $300 million dollar facility.

AltaGas is currently appealing the decision.  The AltaGas DCLNG project is a joint venture between AltaGas, Japanese energy company Idemitsu, Belgian shipping company Exmar and France’s EDF Trading.