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Aurora LNG files for export licence for Grassy Point terminal

Just over two weeks after signing a sole-proponent agreement with the provincial government, Aurora LNG today filed an export licence application with the National Energy Board (NEB).

Aurora LNG — a partnership between Nexen, INPEX Corporation and JGC Exploration Canada Ltd. — has applied for a 25 year licence to export 24 million metric tonnes per year of natural gas from Grassy Point near Lax Kw'alaams. In addition to the application for export, the document submitted to the NEB provides more details on Aurora's proposal.

The company outlines plans for a natural gas liquefaction plant with LNG storage, a marine jetty and a loading dock capable of handling Q-Flex LNG carriers that can carry between 210,000 and 217,000 cubic metres of gas. Plans call for two LNG trains initially, with two additional trains being built as the market and project economics dictate. The facility would allow for the concurrent loading of tankers at adjacent berths.

The company said a variety of pipeline routes is being examined, and notes it has "long-term relationships with all major pipeline providers and has entered into preliminary discussion with pipeline providers".

"Filing an application for an export license is an important step," said Kevin Reinhart, CEO of Nexen.

"However, we still have a lengthy process ahead of us before final investment decisions are made. Stakeholder consultation, environmental assessments and affirmation of technical and economic feasibility are required before the project can proceed."

Aurora LNG expects the first shipment to take place between 2021 and 2023 for the initial two trains.

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