Kitimat's LNG Canada closes in on title of first to development for LNG in BC

Location of the proposed
LNG Canada site in Kitimat

Another milestone moment for a Northwest LNG project was reached this week with word that the Kitimat's LNG Canada project has received a building permit from the British Columbia Oil and Gas Commission.

As part of the permit process the Oil and Gas Commission  noted several conditions related to design, construction and operation of the project that must be met by LNG Canada.

Business in Vancouver provides a fairly useful guide for local residents looking for a comparison of the progress between the Kitimat project and the Petronas plans for Prince Rupert, providing a list of the various boxes successfully checked off by the Shell to this point.

Making note of how Shell is now in possession of a CEAA certificate, as well as certification for the gas pipeline that will deliver natural gas from Northeastern British Columbia to Kitimat.

As well, Shell has found success with engagement with the Haisla First Nation, which LNG Canada credits as instrumental in receiving their list of certifications.

Shell remains cautious about its plans noting the turbulent nature of oil prices and other investment concerns, offering up some background through an information release, that outlined the pat ahead following the latest developments.

Conceptual drawing of proposed
LNG Canada facility in Kitimat

"While today’s announcement is an important step forward for LNG Canada, the project must ensure it is economically viable and meets several other significant milestones including finalizing engineering and cost estimates, supply of labour, and achieving other critical regulatory approvals before making a final investment decision,”-- From a Shell media release Tuesday on the forward movement for the Kitimat LNG project

The forward momentum for the Shell led project also leaves a few other questions in play for Prince Rupert residents to consider, particularly the fate of the BG Canada proposal for Ridley Island.

Shell took over the parent company BG last year and since that deal was finalized there has been little in the way of updates as to the status of the Prince Rupert plans.

More on the Kitimat LNG Canada project can be found from our archive page.

While background on all of the current LNG proposal for the Northwest can be found here.

Further background on yesterday's announcement can be found below:

January 6 -- Shell's Kitimat LNG proposal first to get key permit
January 5 -- LNG Canada gets BC Oil and Gas Commission Permit
January 5 -- LNG Canada's Kitimat Project First to Receive Oil and Gas Commission Facility Permit
January 5 -- Kitimat LNG permit received (video)
January 5 -- OGC issues facility permit for LNG Canada project
January 5 -- Kitimat LNG project snares key permit
January 5 -- Shell-led joint venture obtains key permit for LNG facility in Kitimat
January 5 -- LNG Canada gets permit for export facility in Kitimat B. C.

Cross posted from the North Coast Review