This picture outlines the proposed project

This picture outlines the proposed project

LNG pipeline proposed to connect Prince Rupert to northeastern BC

Spectra Energy announced this morning plans to construct a natural gas pipeline from northeastern BC to Prince Rupert.

Spectra Energy announced this morning plans to construct a natural gas pipeline from northeastern BC to Prince Rupert to serve a potential LNG development on Ridley Island.

Plans for the project, which would serve the proposed BG Group LNG terminal on the north coast, include an 850-kilometre pipeline that would be capable of carrying up to 4.2 billion cubic feet of natural gas per day. The pipeline would also connect with the Station 2 hub just southeast of Fort St. John, which collects natural gas from a number of areas in western Canada.

The pipeline would be owned 50 per cent by Spectra Energy and 50 per cent by the BG Group, and both companies say the pipeline would be a big boom to the potential development of the site.

“We are ideally positioned to create further value for our investors by leveraging surplus B.C. natural gas supplies and facilitating its export to high-demand markets in Asia. This, in turn, will provide multiple opportunities for further investment in our gathering and processing facilities in the province,” said Spectra Energy president and CEO Greg Ebel.

Construction of the project would get underway in 2015, with a targeted in-service date of 2019.

The BG Group signed an agreement with the Prince Rupert Port Authority in February that gives them access to a site on Ridley Island to examine the feasibility of constructing an LNG export terminal on the north coast.