Tuesday, July 25, 2017

Petronas drops Pacific Northwest LNG megaproject in B.C.

Petronas and its partners have cancelled the $36-billion Pacific NorthWest liquefied natural gas megaproject they had planned to build in British Columbia. LNG prices have been hit by a global oversupply as numerous projects have come online, challenging the economics of the project and others that have been proposed in the province.

The consortium has spent billions developing natural gas fields in B.C. after buying Progress Energy Canada, but it would have required much more including an $11.4-billion LNG terminal in Port Edward, B.C.
“This is good news all around, because this project would have lost money while fuelling dangerous levels of climate change,” Greenpeace’s Keith Stewart said. “The sooner we move on from fossil fuel mega-projects to building the renewable energy economy, the better positioned we’ll be to thrive in the emerging low-carbon world.”