Natural Gas Development Minister Rich Coleman (left)

Squamish mill site on LNG map; Clark signs agreement with Malaysia’s Petronas (VIDEO)

Woodfibre, a brownfield pulp mill site, could end up the first of B.C.'s 13 proposed liquefied natural gas exporters

A brownfield pulp mill site at Squamish could end up the first of B.C.’s 13 proposed liquefied natural gas exporters.

Premier Christy Clark has signed her second letter of intent since arriving in Asia for an LNG sales trip. It’s for one of the smallest, at Woodfibre, where the last of a series of forest operations closed in 2006. The pulp mill’s main legacy is an industrial-sized FortisBC natural gas line, which a company owned by Indonesian billionaire Sukanto Tanoto has proposed to use for an LNG export terminal.

Private ownership, a century of industrial history on the B.C. coast and the existing pipeline make the Woodfibre site one of the simpler proposals to bring online.

The largest agreement was signed Monday with Malaysian giant Petronas for export facilities at Port Edward on the B.C. North Coast. Purchase agreements from petroleum corporations in China, Japan, India and Brunei were unveiled at ceremonies in Kuala Lumpur.

Before the trip, Clark signed a similar letter of intent with a consortium headed by Shell Canada for a high-volume pipeline and LNG export facilities at Kitimat.

In an interview from Singapore, Clark said the Asian network offered by Petronas shows the world’s biggest players are responding to B.C.’s stable economy and its tax rates for gas exports. Clark said the China and India markets alone have steep growth ahead, with India Oil projecting a five-fold increase in gas use over the next decade.

“Today when you look at world events, you look at what’s happening with Russia and Crimea, you look at what happens in Africa on a regular basis, and some of the things that have happened in Australia where they’ve changed the goalposts, companies want one partner that they can trust explicitly,” Clark said. “And that is us.”

The consortium of Shell, PetroChina, Korea Gas and Mitsubishi identified their projects in Africa, Russia and Australia as competing for their investment capital.

B.C.’s biggest obstacles are the price in Asia by 2018, labour cost and building pipelines over the Rocky Mountains.

Just Posted

Final key components for Johnson Street Bridge installed this weekend in Victoria

Dynamic Beast crane barge arrives back in town on Friday

Metchosin supports moving to three-year municipal term

Some councillors say four years is too much of a commitment

Wind warning in effect for Greater Victoria

Strong winds could reach up to 80 km/hr along coastal areas

Whisky society commits to charity donation in wake of whisky raids

Refund of Victoria Whiskey Festival tickets won’t impact charity beneficiaries

Heavy snowfall closes Mount Washington for the day

Road to ski resort deemed unsafe, “high avalanche danger”

REPLAY: B.C. this week in video

In case you missed it, here’s a look at replay-worthy highlights from across the province this week

Touring art from war-torn Syria on display at Cedar Hill

Behind the Lines: Contemporary Syrian Art, Jan. 24 to Feb. 5 at Cedar Hill Arts Centre

Philadelphia Eagles headed to Super Bowl

After routing the Minnesota Vikings 38-7, they will face Tom Brady and the New England Patriots

VIDEO: Dramatic video shows return of rescued B.C. snowboarders

Two snowboarders were rescued near Rossland, B.C. on Sunday after being lost overnight.

Tom Brady leads Patriots back to Super Bowl, top Jaguars 24-20

New England to face winner of Sunday night’s game between Minnesota and Philadelphia on Feb. 4

Vessel washed ashore in Campbell River during last night’s storm

A vessel appears to have gotten loose and washed to shore on… Continue reading

Liberals quietly tap experts to write new paternity leave rules

Ideas include creating an entirely new leave benefit similar to one that exists in Quebec

Insurers say Canadian weather getting hotter, wetter and weirder

Average number of days with heavy rain or snow across Canada has been outside norm since spring 2013

Final phase of MDMA-assisted psychotherapy trials to kick off in B.C.

Doctors hope to get psychedelic-assisted psychotherapy legalized in Canada and the U.S. by 2021

Most Read