BC natural gas begins 3k mile journey

FORT ST. JOHN, B.C. — Canadian gas giant Tourmaline Oil Corporation has begun shipping liquid natural gas to international markets. 

An article from Bloomberg revealed the 15-year agreement with Cheniere Energy Inc., an international natural gas company based out of Texas, will see natural gas shipped 3,000 miles to Texas’ Gulf Coast from northern B.C.  

From there, the gas will be loaded onto ships, where it will then be transported an additional 5,000 to 17,000 nautical miles to markets in Asia and Europe. 

The liquid natural gas sent to Texas and onto international markets comes from Tourmaline’s Montney and Deep Basin areas. The Montney region encompasses much of the Peace region of B.C., and the Deep Basin region is in southern Alberta. 

This 3,000-mile journey is considered one of the longest paths for natural gas to travel from well to facility in the world. 

This deal between Tourmaline and Cheniere also marks Canada’s biggest deal for LNG outside of North America, with Tourmaline supplying 140 million cubic feet of liquid natural gas per day to Cheniere. 

The deal also promises higher prices than what is available in the North American market. In the face of the war between Ukraine and Russia, markets like China have been looking for new power supplies. 

Currently, Canada has no liquid natural gas housing facilities. LNG Canada is currently being built in Kitimat, B.C., where, once completed, it will ship Canadian natural gas to Asian markets directly from Canada. 

To learn more about LNG Canada, visit their website.