Petronas pulls out of northwest LNG project

Officials say low prices and shifts in energy industry made the decision necessary.

Pacific NorthWest LNG says it will not be proceeding with the $36-billion liquefied natural gas megaproject it had planned to build in British Columbia.

The consortium says the announcement by Petronas and its partners comes after a careful review of changes in market conditions.

Anuar Taib, executive vice-president and CEO (upstream) for Petronas, says prolonged depressed prices and shifts in the energy industry made the decision necessary.

LNG prices have been hit by a global oversupply as numerous projects have come online, challenging the economics of the development and others that were proposed in the province.

The consortium has already sunk billions into developing the natural gas fields in the B.C. interior, but the project would have required much more investment including an $11.4-billion LNG terminal in Port Edward, B.C.

The project, which secured Prime Minister Justin Trudeau’s approval last year, was proposed as a way to reduce coal use in Asia, but it has also faced criticism for the potential greenhouse gas emissions that would have resulted.

 

(Screenshot of Pacific Northwest LNG website)

Just Posted

UPDATE: Rockslide keeps Coquihalla northbound lane closed

Highway 5 is closed in one direction.

Rock slide closes Hwy. 1 south of Ashcroft until Friday afternoon

A rock slide Thursday afternoon near Spences Bridge closed the highway in both directions

‘Quite a few tears’ as quilts distributed to those affected by last summer’s fire

Local quilters leapt into action to provide quilts for Ashcroft Reserve and Boston Flats residents.

South Cariboo Kinsmen donate to local fire departments

Ashcroft and Cache Creek fire departments each receive $1,100 from Kinsmen annual Turkey Bingo.

NDIT ‘State of the North’ report highlights importance of small businesses

Median wages in Cariboo-Chilcotin/Lillooet lower than elsewhere, but housing relatively affordable.

REPLAY: B.C. this week in video

In case you missed it, here’s a look at replay-worthy highlights from across the province this week

Police fear fewer fentanyl imports don’t signal the end of the overdose crisis

RCMP say it’s just as likely that criminal are getting more clever

UPDATE: Two people die in ATV accident south of Campbell River

Third person survived attempt to cross a creek

Coal dust escaping rail cars spurs B.C. petition

Local governments are on board with Shuswap resident’s request for better control of escaping particulate

Lawyers slam ‘de facto expulsion’ of student guilty of sexual interference

Calgary student guilty of sexual assault of a minor allowed to finish semester

B.C. NDP set to restructure union bargaining

School trustees to regain control over employer group

New development in missing plane near Revelstoke

The family of Ashley Bourgeault believe they have found a new clue

$130K could get you on a dive to the Titanic

Hot summer ticket: $130K could get you on a dive to the Titanic off Newfoundland

UK’s Princess Eugenie, daughter of Prince Andrew, engaged

Princess Eugenie, the daughter of Prince Andrew and his ex-wife Sarah Ferguson, will marry Jack Brooksbank in Autumn 2018

Most Read