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Volume 9 Issue 50
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CONTRIBUTED / THE NORTHERN CONNECTOR
2015 Adventurer Camper
Pacific NorthWest LNG has made a conditional investment decision on its $11 billion terminal on Lelu Island.
North coast’s LNG hopes on the upswing By Shaun Thomas
THE NORTHERN CONNECTOR
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PRINCE RUPERT - Pacific NorthWest LNG has announced a positive final investment decision for its $11-billion Lelu Island terminal, subject to two conditions. They are approval of the Project Development Agreement by the Legislature and regulatory approval from the Canadian Environmental Assessment Agency (CEAA). Pacific NorthWest LNG president Michael Culbert said the company will continue to push toward CEAA approval following the decision. “In parallel with work to support the final investment decision, Pacific NorthWest LNG will continue constructive engagement with area First Nations, local communities, stakeholders and regulators. The
integrated project is poised to create thousands of construction and operational careers in the midst of the current energy sector slowdown,” said Culbert. “A final investment decision is a crucial step to ensure that the project stays on track to service contracted LNG customers. Pacific NorthWest LNG is poised to make a substantial investment that will benefit Canada for generations to come.” News of the decision was welcomed by a very happy Port Edward Mayor Dave MacDonald. “We’re excited that we have reached another level in the negotiations and hope the company can come to a positive final investment decision soon [with all conditions met],” he said. Natural Gas Development Minister Rich Coleman said the announcement shows the work that the province has done to de-
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velop the industry in B.C. has been effective. Coleman said the government is hoping to recall the Legislature next month to vote on the project development agreement. “We’re pretty happy with the progress that has been made because there are just two conditions and neither is related to whether or not there is a market or the cost of construction ... they have the market, they have the gas sold and they know the prices. Now they have a project that is totally commercially viable,” he said. The project was very publicly rejected by the Lax Kw’alaams Band which turned down a benefits agreement worth more than $1 billion over 40 years. Coleman’s optimistic that obstacle can also be overcome. “We have made significant progress with the Lax Kw’alaams over the past few
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weeks ... I think you will see Lax Kw’alaams come together with other First Nations to support this development,” he said. “I think we can see a line of sight to an agreement.” While Lax Kw’alaams Mayor Garry Reece did not respond to a request for comment, Metlakatla Chief Harold Leighton said the band was keeping a close eye on the project. “The project potentially brings opportunities to our people, however, Metlakatla needs to continue our work with the regulators in order to be satisfied that conditions are in place to ensure the protection of our environmental legacy,” he said. “We await further research and analysis, and will continue to discuss how we resolve outstanding issues with Pacific NorthWest LNG and federal regulatory agencies.”
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