Friday, August 3, 2012

Spectra Energy considers LNG shipments out of Prince Rupert

The line up of potential users of an LNG shipment point out of Prince Rupert seems to grow by the month, the latest one is Spectra Energy, which announced in a press release yesterday that it is considering enhancements to its pipeline grid in British Columbia to support liquefied natural gas exports out of Prince Rupert.

According to the release, the company is already involved in advanced negotiations on the project, calling Prince Rupert a great location.

The Spectra grid is connected to both Prince Rupert and Kitimat,  though those connections are smaller diameter lines and provide for far less capacity than a shipment terminal might require.

Towards the project of a shipment terminal Spectra would commit 4 to 6 billion dollars to its Western Canadian Infrastructure projects to support LNG exports, making use of a pair of properties that the company is developing in Horn River and Montney shales.

The Houston, Texas based company recently opened a processing plant in Dawson Creek, BC and is poised for further expansion in the provinces North East.

Spectra is just the latest of Natural Gas Exporters to express an interest in using Prince Rupert as a shipment point, last month details were released of the interest by Petronas, Malaysia's state owned oil and gas company in plans to develop a shipment point on Lelu Island near Ridley Island.

From the North Coast Review Archive

July 2012-- LNG plans dusted off for Prince Rupert

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