A view of Casey Cove, from a beach on Dodge Cove, where a section of Nexen’s proposed Aurora LNG project will be located. Photo by Shannon Lough A view of Casey Cove, from a beach on Dodge Cove, where a section of Nexen’s proposed Aurora LNG project will be located. Photo by Shannon Lough

Aurora LNG backs out

The liquefied natural gas project proposed for Digby Island has ended its run

Another liquefied natural gas (LNG) project has pulled the plug on its plans for the North Coast.

Aurora LNG has spend four years exploring the possibility of shipping LNG from a site on Digby Island to Asian markets — and on Sept. 14 the project partners announced their decision to end their feasibility study.

“Through this feasibility study, Aurora LNG has determined that the current macro-economic environment does not currently support the partners’ vision of developing a large LNG business at the proposed Digby Island site,” the press release states.

The project was a partnership between Nexen Energy, a subsidiary of CNOOC Ltd., and INPEX Gas British Columbia. The announcement comes on the heels of Petronas ending its Pacific NorthWest LNG project on Lelu Island in Port Edward on July 25, which also cited market conditions as to why it would not proceed.

After Petronas fell through, Aurora LNG had moved through the environmental assessment process further than the other six LNG projects proposed for the Prince Rupert area. The project was on Day 142 of the 180 day B.C. environmental assessment process when the regulatory manager of the project requested in August to suspend the assessment until Aurora had addressed outstanding questions.

The project was expected to cost up to $20-billion and proposed to handle 24 million metric tonnes of LNG per year, and had received its licence from the National Energy Board in October 2014.

This summer, Aurora LNG demolished the old coast guard base on their site at Casey Cove on Digby Island with the intention of removing the safety hazard. The deteriorated buildings were destroyed and waste was sent to a landfill in Alberta.

“While disappointed in this outcome, Aurora LNG is proud of its work in northwest British Columbia over the past three years and the relationships it has built with local community members, Indigenous groups, stakeholders and government. The partners’ are committed to a responsible and orderly conclusion of their activities in the Prince Rupert region,” the release states.

Many residents of Dodge Cove are breathing a sigh of relief at the news that Aurora LNG will not proceed. The community, with approximately 30 full-time residents, would have been less than a kilometre away from the terminal and residents have spent the past few years raising concerns about the health, environment and noise impacts this project would have.

Lou Allison is a long-term Dodge Cove resident who has been challenging the project. “Of course we’re relieved. We feel like a huge weight has gone off us,” she said, adding that they work they did on the environmental assessment process has taught them how industrial development gets done in Canada, and why there is a need to improve the process.

RELATED: WHICH LNG PROJECTS ARE LEFT IN PRINCE RUPERT

Just Posted

Anglers furious over VIP fishing trip

DFO, SkeenaWild both investigating legality of FN research licence to fishing party

Work begins to remove cargo from grounded Haida Gwaii barge and fishing lodge

Westcoast Resorts’ Hippa Lodge broke from its moorings and ran aground early this month

Visibility improvements coming for Prince Rupert’s downtown streets

Work on McBride Street and Second Avenue intersections, crosswalks, will take place this fall

Pipeline challenger says his feelings are irrelevant

The prospect of a federal review has Kitimat and Terrace businesses and residents worried

Prince Rupert receives Softball BC’s association of the year nomination

Association could receive $1,000 and a free coaching clinic as prizes

More than 125 runners take part in Northern View Cannery Road Race

Teen Terrace runners first to finish 5km and 10km, Prince Rupert runner wins 21km race

B.C. home to 1/3 of Canada’s overdose deaths in first 3 months of the year

There were 1,036 overdose deaths in the first three months of the year, with 94 per cent accidental

B.C. candidate moves from hospice care to council race

He beat terminal cancer twice and entered hospice when he decided to run for council.

Canadian tobacco exec pushes back against vaping health concerns

A warning from Interior Health about the unknown health risks of vaping is getting a partial rebuke

Ministry of Agriculture commits $300,000 to help B.C. farmers obtain land

B.C. Land Matching Program supports access to affordable farmland for young farmers

Canadian air force short 275 pilots

Attrition outpaces recruitment and training claims Air Force

Teacher suspended after physically shushing, saying ‘shut up’ to student

Grade 5 student reported feeling ‘confused and a little scared’

A B.C. society helps to reforest Crown land after wildfires

Forest Enhancement Society of BC focuses on wildfire mitigation and the reforestation

Most Read