One day - One News, One day - One Project

Email This Page

Golar and Exmar in contest over Canada BC LNG project

LNG Partners opt for FLSU moored in Douglas Channel

The liquefied natural gas (LNG) carriers fleet owners Golar LNG, registered in Bermuda and managed from Norway, and Exmar from Belgium enter intense contest around the Douglas Channel LNG project headed by LNG Partners LLC and LNG BargeCo BVBA in British Columbia, on the west coast of Canada.

Renamed as BC LNG, the Douglas Channel LNG project is jointly owned by the Houston-based LNG Partners in Texas and the local Haisla First Nation under LNG BargeCo entity.

BC-LNG_LNG Partners_Douglas-Channel_MapLNG Partners and Haisla First Nation established first the joint venture Douglas Channel Energy Partnership (DCEP) to submit all formal applications, set up the financing of the project and initiate the feasibility study of the BC LNG project.

The purpose of the BC LNG project is to install a floating liquefaction and storage unit (FLSU) along the west bank of the Douglas Channel at the south of the Half Moon Bay Marina in the Kitimat District on the Haisla First Nation asserted traditional territory in British Columbia.

In opting for this FLSU concept, LNG partners and Haisla First Nation minimize the environmental impact as they will use the existing Pacific Northern Gas (PNG) natural gas pipeline to supply the floating liquefaction unit.

Black and Veatch completed BC LNG project FEED 

On August 2011, LNG Partners and Haisla First Nation awarded the front end engineering and design (FEED) of the BC LNG project to Black and Veatch.

While selecting an ice-free zone on the sea, LNG Partners intends also to reduce costs in limiting additional infrastructures.

BC-LNG_Exmar-LNG_Wison-FLSU_ProjectIn addition to the FLSU, the BC LNG project will only require:

 – Pipeline connection from the PNG gas pipeline to the FLSU

 – Power-from-shore connection to supply electricity from the BC Hydro Minette substation

 – LNG carrier berth

 – Onshore utilities facilities

According to this FEED work, LNG partners and LNG BargeCo would develop the BC LNG project in a first phase with a production capacity of 800,000 tonnes per year (0.8 million t/y) on natural gas .

LNG partners and LNG BargeCo are now moving to the execution phase of the project in selecting the FLSU to be moored in the Douglas Channel.

In this perspective LNG Partners and LNG BargeCo extablished a new joint venture called Marching Prospect Ltd ( Marching).

Marching signed a letter of intend (LOI) with Exmar to charter an FLSU for a minimum of 20 years with the option for two times five years extension.

The Exmar proposed vessel should be a replicate of the FLSU allocated to the Pacific Rubbiales project and should have a

 – Production capacity of 700,000 t/y of LNG

 – Storage capacity of 20,000 cubic meter.

BC LNG FLSU construction to be awarded to Wison

Since the Pacific Rubbiales FLSU is currently under construction at the Wison Offshore & Marine shipyard in China, Exmar is likely to add the BC LNG FLSU in the queue.

The LOI signed between Marching and Exmar is due to be converted in firm agreement by the end of the year together with the final investment decision (FID).

BC-LNG_Golar-LNG_FLSU_ProjectIn parallel Golar LNG had taken position in the BC LNG project with the plan to hold 25% of the project including the FLSU as well as the shipped gas.

In that respect Golar LNG sit in the pre-FID steering committee (PSC) together with LNG Partners and Haisla First Nation.

By this position Golar LNG intends to stay on board of the BC LNG project and provide the FSLU.

Regardless the final decision of LNG Partners and Haisla First Nation between Golar LNG and Exmar, the BC LNG FLSU is estimated to require $400 million capital expenditure and is expected to start first shipment on 2016.

For more information and data about oil and gas and petrochemical projects go to Project Smart Explorer

Leave a Reply

Today, Ohio Payday Loans are legitimate, but there are illegal transactions that are still on the rise. In rare cases, the smarting in eyes, the tumefaction of eyelids, nausea and headaches can happen. In case of long term Levitra Soft online administration the side effects become less perceptible or disappear at all.