CNOOC Gas and Power Group, a unit of CNOOC, has signed an agreement with a division of BG to partner on the planned Prince Rupert LNG project.
The companies plan to conduct a joint study to evaluate a plant with a production capacity of up to 29 million tonnes of LNG per year. Other terms of the agreement were not disclosed, the Xinhua News Agency reported.
Prince Rupert LNG Exports Limited, a BG Group company, received authorization from the National Energy Board in March 2014 to export LNG from the proposed facility.
BG has also partnered with Spectra Energy on the Westcoast Connector Gas Transmission Project, a proposal to build an 850-kilometre (525 mile) natural gas pipeline from production areas in Northeast British Columbia to BG Group’s proposed LNG export facility on an industrially zoned site on Ridley Island near Prince Rupert.
This is proposed operation is double the size of Gorgon. More evidence, if any were needed, that customers and suppliers have moved on from Australia to greener, cheaper pastures.
David Llewellyn-Smith is Chief Strategist at the MB Fund and MB Super. David is the founding publisher and editor of MacroBusiness and was the founding publisher and global economy editor of The Diplomat, the Asia Pacific’s leading geo-politics and economics portal.
He is also a former gold trader and economic commentator at The Sydney Morning Herald, The Age, the ABC and Business Spectator. He is the co-author of The Great Crash of 2008 with Ross Garnaut and was the editor of the second Garnaut Climate Change Review.
