BG Canada president discusses delay of Ridley Island terminal

The BG Group said it is "pausing on Prince Rupert" when it comes to the company's liquefied natural gas export terminal on Ridley Island.

The BG Group said it is “pausing on Prince Rupert” when it comes to the company’s liquefied natural gas export terminal on Ridley Island, but BG Canada president Madeline Whitaker said that the company is by no means abandoning its plans.

“We have always said the earliest final investment decision would be 2016, realistically it will probably be later than that with commercial operations beginning early in the next decade … we are not going to be rushed in scheduling this project, we are going to take the time to do it right that is right for the BG Group and right for the people of B.C.,” she said, noting work is still ongoing on the North Coast.

“In terms of our momentum here in B.C. we have a lot of work to do in 2015. The focus of our work next year will be bringing forward some additional field studies to support our environmental assessment and permitting, we will be continuing with our community engagement, with our consultation and we will be bringing forward two new programs with First Nations for employment and training and environmental stewardship. The team is still here and we have a lot of work to do next year.”

The company made its decision public during an Oct. 28 conference call, a decision Whitaker said is being driven in part by the development of an LNG export industry south of the border.

“This is all about how much goes in the U.S. There is about 270 million tonnes of project capacity on the slate in the U.S. at the moment and the scale of the U.S. export could have an impact on when the best time is for Canadian volume to come onto the market,” she said.

“There is uncertainty at the moment about the size and number of North American projects and, as we wait for that market to evolve, we will make an assessment about when is the best time to go forward with Prince Rupert LNG. We will be changing our timetable slightly in terms of EA filings, but we will be maintaining our momentum on the ground in B.C.”

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