Welcome!

News Feed Item

Companies Behind LNG Canada Formalize Joint Venture; Milestone for Proposed Project

Tokyo, May 1, 2014 - (JCN Newswire) - Shell Canada Energy (Shell), PetroChina Corporation, Korea Gas Corporation (KOGAS) and Mitsubishi Corporation have today announced, in the presence of Honourable Christy Clark, Premier of British Columbia and Honourable Rich Coleman, Minister of Natural Gas Development and Minister Responsible for Housing and Deputy Premier, the signing of a joint venture agreement to develop a proposed liquefied natural gas (LNG) export project - LNG Canada. The new operating entity, LNG Canada Development Inc., is incorporated and registered under the federal laws of Canada. The proposed project, to be located in Kitimat, British Columbia, is subject to regulatory approvals and a Final Investment Decision by the joint venture.

LNG Canada continues to bring together the four companies' extensive development experience, technical depth, financial strength and access to markets required to be a leading LNG developer in Canada. The signing of the joint venture agreement is an important milestone for the project as it formalizes the joint venture and creates an operating entity that enables LNG Canada to progress the project and enter into agreements with potential suppliers and contractors. The project's corporate offices will continue to be located in Vancouver, British Columbia and Calgary, Alberta, with the project office based in Kitimat, British Columbia.

"While we are in the early evaluation process and a decision to build the project is still a while away, this agreement reinforces our commitment to developing an LNG facility in British Columbia and allows us to proceed with the next steps in our project assessment," said Andy Calitz, CEO LNG Canada. "We will need to continue to work closely with the provincial and federal government to ensure that the project is economically viable, as well as working closely with First Nations, the local communities, and regulatory agencies, and move forward on a number of commercial agreements and contracts. We remain cautiously enthusiastic about the potential opportunity in B.C. and look forward to exploring it further."

The demand for natural gas, the cleanest burning fossil fuel, remains high in Asia and other global markets. LNG Canada would deliver a project that offers a new source of competitively priced LNG to global markets, while providing benefits to Canada, British Columbia and its coastal region.

"These four companies are working together to realize the immense potential of B.C.'s LNG - an industry that could create up to 100,000 jobs overall in our province by exporting clean, reliable energy to the growing economies across the Pacific," said Premier Christy Clark. "There's more work to do, but momentum is clearly on our side."

While there is considerable work that still needs to be done prior to the four companies making a Final Investment Decision, the initial technical work has now been completed, land has been acquired, the Project Description has been submitted and the Environmental Assessment is currently underway.

"Today is an important step forward for LNG Canada and we are pleased to join PetroChina, KOGAS and Mitsubishi - strong LNG companies in their own right - to move this project forward together. LNG Canada must compete across a portfolio of global options but we remain optimistic that with the continued co-operation of all interested parties LNG Canada can offer a valuable global market for Canadian natural gas," commented Jorge Santos Silva, Executive Vice President Shell Upstream Americas Commercial, New Business Development and Integrated Gas.

"It is a great pleasure and honour to work closely with Shell, KOGAS and Mitsubishi Corporation. This milestone signifies our strong alignment and though we come from different corners of the world, we are confident that we will continue to step forward together" said Bi Jingshuang, Director - Legal Department of China National Oil and Gas Exploration and Development Corporation (CNODC, who represents PetroChina.)

"LNG Canada, if realized, has the potential to play an important role in meeting the energy needs of Japan and other countries that rely heavily on LNG, and we are pleased with this achievement," stated Hiroki Haba, Vice President, Natural Gas Business Division, Mitsubishi Corporation. "Together with the significant investments we have been making in the upstream sectors in western Canada, Mitsubishi Corporation remains fully committed to making the project a success."

"The project provides a great chance to enhance energy supply security for countries, including Korea, which are always in need of stable energy sources. LNG Canada is committed to the development of a sustainable project providing benefits to local and global communities alike," added Jongkook Lim, Vice President, LNG Business Department, Korea Gas Corporation.

Upon signing the Joint Venture Agreement, the joint venture partners' respective interests in the project have been updated, with Shell now holding 50%, PetroChina 20% and each of KOGAS and Mitsubishi Corporation holding 15%.

About LNG Canada

The proposed LNG Canada project includes the design, construction and operation of a gas liquefaction plant and facilities for the storage and export of liquefied natural gas (LNG), including marine facilities. LNG Canada will initially consist of two LNG processing units referred to as "trains," each with the capacity to produce six million tonnes of LNG annually, with an option to expand the project in the future to four trains.

LNG Canada's vision is to work collaboratively with the local community, First Nations and stakeholders, to deliver a project that is safe, reliable and reflective of community interests.

Project milestones to date:

2011 - The Joint Venture was assembled.

2012 - LNG Canada selected TransCanada to own, operate and construct the pipeline

2013 - LNG Canada also had its export license approved by the NEB and filed its Project Description.

2014 - LNG Canada secured its preferred site in Kitimat.

About the Joint Venture Companies

Shell

Shell Canada Energy is one of the largest upstream divisions of Royal Dutch Shell plc ("Shell"), which is a global leader in LNG and helped pioneer the liquefied natural gas (LNG) sector, providing the technology for the world's first commercial liquefaction plant in 1964. Shell currently has ten LNG projects in operation with approximately 26.1 million tonnes per annum (mtpa) operational LNG capacity, in nine countries, and two projects with an additional 7.5 mtpa under construction. Shell was a partner in the first-ever purpose built LNG carrier and has been delivering LNG safely for nearly half a century. Today, Shell is one of the largest LNG vessel operators in the world, with interests in around a quarter of the LNG vessels in operation. Shell has key positions in North America unconventional gas, including amongst others the Montney shale development in Canada.

PetroChina

Phoenix Energy Holdings Limited (an affiliate of Petro-China Investment (Hong Kong) Limited) ("PetroChina") is China's largest oil and gas producer and supplier, as well as one of the world's major oilfield service providers and a contractor in engineering construction. PetroChina officially launched three LNG projects in June 2004, two of which started operations in the first half of 2011.

KOGAS

Kogas Canada LNG Ltd. (an affiliate of Korea Gas Corporation) ("KOGAS") is the world's largest LNG importer. As the nation's sole LNG provider, KOGAS currently operates three LNG terminals and a nationwide pipeline network, supplying natural gas from around the world to power generation plants, gas-utility companies and city gas companies throughout the country. KOGAS has also diversified into LNG swapping and trading, and LNG terminal construction, operations and management.

About Mitsubishi Corporation

Mitsubishi Corporation (MC; TSE: 8058) is a global integrated business enterprise that develops and operates businesses across virtually every industry including industrial finance, energy, metals, machinery, chemicals, foods, and environmental business. MC's current activities are expanding far beyond its traditional trading operations as its diverse business ranges from natural resources development to investment in retail business, infrastructure, financial products and manufacturing of industrial goods. With over 200 bases of operations in approximately 80 countries worldwide and a network of over 500 group companies, MC employs a multinational workforce of nearly 60,000 people. For more information, please visit www.mitsubishicorp.com.



Source: Mitsubishi Corporation

Contact:
Mitsubishi Corporation
Telephone:+81 3 3210 2171 
Facsimile:+81 3 5252 7705


Copyright 2014 JCN Newswire. All rights reserved. www.japancorp.net

More Stories By JCN Newswire

Copyright 2008 JCN Newswire. All rights reserved. Republication or redistribution of JCN Newswire content is expressly prohibited without the prior written consent of JCN Newswire. JCN Newswire shall not be liable for any errors or delays in the content, or for any actions taken in reliance thereon.

Latest Stories
Wooed by the promise of faster innovation, lower TCO, and greater agility, businesses of every shape and size have embraced the cloud at every layer of the IT stack – from apps to file sharing to infrastructure. The typical organization currently uses more than a dozen sanctioned cloud apps and will shift more than half of all workloads to the cloud by 2018. Such cloud investments have delivered measurable benefits. But they’ve also resulted in some unintended side-effects: complexity and risk. ...
SYS-CON Events announced today that Fusion, a leading provider of cloud services, will exhibit at SYS-CON's 20th International Cloud Expo®, which will take place on June 6-8, 2017, at the Javits Center in New York City, NY. Fusion, a leading provider of integrated cloud solutions to small, medium and large businesses, is the industry’s single source for the cloud. Fusion’s advanced, proprietary cloud service platform enables the integration of leading edge solutions in the cloud, including cloud...
Your homes and cars can be automated and self-serviced. Why can't your storage? From simply asking questions to analyze and troubleshoot your infrastructure, to provisioning storage with snapshots, recovery and replication, your wildest sci-fi dream has come true. In his session at @DevOpsSummit at 20th Cloud Expo, Dan Florea, Director of Product Management at Tintri, will provide a ChatOps demo where you can talk to your storage and manage it from anywhere, through Slack and similar services ...
20th Cloud Expo, taking place June 6-8, 2017, at the Javits Center in New York City, NY, will feature technical sessions from a rock star conference faculty and the leading industry players in the world. Cloud computing is now being embraced by a majority of enterprises of all sizes. Yesterday's debate about public vs. private has transformed into the reality of hybrid cloud: a recent survey shows that 74% of enterprises have a hybrid cloud strategy.
Cloud Expo, Inc. has announced today that Aruna Ravichandran, vice president of DevOps Product and Solutions Marketing at CA Technologies, has been named co-conference chair of DevOps at Cloud Expo 2017. The @DevOpsSummit at Cloud Expo New York will take place on June 6-8, 2017, at the Javits Center in New York City, New York, and @DevOpsSummit at Cloud Expo Silicon Valley will take place Oct. 31-Nov. 2, 2017, at the Santa Clara Convention Center in Santa Clara, CA.
Have you ever noticed how some IT people seem to lead successful, rewarding, and satisfying lives and careers, while others struggle? IT author and speaker Don Crawley uncovered the five principles that successful IT people use to build satisfying lives and careers and he shares them in this fast-paced, thought-provoking webinar. You'll learn the importance of striking a balance with technical skills and people skills, challenge your pre-existing ideas about IT customer service, and gain new in...
With major technology companies and startups seriously embracing Cloud strategies, now is the perfect time to attend @CloudExpo | @ThingsExpo, June 6-8, 2017, at the Javits Center in New York City, NY and October 31 - November 2, 2017, Santa Clara Convention Center, CA. Learn what is going on, contribute to the discussions, and ensure that your enterprise is on the right path to Digital Transformation.
Column Technologies exhibited at SYS-CON's @DevOpsSummit at Cloud Expo, which took place at the Javits Center in New York City, NY, in June 2016. Established in 1998, Column Technologies is a global technology solutions provider with over 400 employees, headquartered in the United States with offices in Canada, India, and the United Kingdom. Column Technologies provides “Best of Breed” technology solutions that automate the key DevOps principals and help our customers meet today’s DevOps and Dig...
@ThingsExpo has been named the Top 5 Most Influential Internet of Things Brand by Onalytica in the ‘The Internet of Things Landscape 2015: Top 100 Individuals and Brands.' Onalytica analyzed Twitter conversations around the #IoT debate to uncover the most influential brands and individuals driving the conversation. Onalytica captured data from 56,224 users. The PageRank based methodology they use to extract influencers on a particular topic (tweets mentioning #InternetofThings or #IoT in this ca...
@DevOpsSummit at Cloud taking place June 6-8, 2017, at Javits Center, New York City, is co-located with the 20th International Cloud Expo and will feature technical sessions from a rock star conference faculty and the leading industry players in the world. The widespread success of cloud computing is driving the DevOps revolution in enterprise IT. Now as never before, development teams must communicate and collaborate in a dynamic, 24/7/365 environment. There is no time to wait for long developm...
With major technology companies and startups seriously embracing Cloud strategies, now is the perfect time to attend @CloudExpo | @ThingsExpo, June 6-8, 2017, at the Javits Center in New York City, NY and October 31 - November 2, 2017, Santa Clara Convention Center, CA. Learn what is going on, contribute to the discussions, and ensure that your enterprise is on the right path to Digital Transformation.
Bert Loomis was a visionary. This general session will highlight how Bert Loomis and people like him inspire us to build great things with small inventions. In their general session at 19th Cloud Expo, Harold Hannon, Architect at IBM Bluemix, and Michael O'Neill, Strategic Business Development at Nvidia, discussed the accelerating pace of AI development and how IBM Cloud and NVIDIA are partnering to bring AI capabilities to "every day," on-demand. They also reviewed two "free infrastructure" pr...
DevOps and microservices are permeating software engineering teams broadly, whether these teams are in pure software shops but happen to run a business, such Uber and Airbnb, or in companies that rely heavily on software to run more traditional business, such as financial firms or high-end manufacturers. Microservices and DevOps have created software development and therefore business speed and agility benefits, but they have also created problems; specifically, they have created software securi...
Almost two-thirds of companies either have or soon will have IoT as the backbone of their business. Though, IoT is far more complex than most firms expected with a majority of IoT projects having failed. How can you not get trapped in the pitfalls? In his session at @ThingsExpo, Tony Shan, Chief IoTologist at Wipro, will introduce a holistic method of IoTification, which is the process of IoTifying the existing technology portfolios and business models to adopt and leverage IoT. He will delve in...
In the enterprise today, connected IoT devices are everywhere – both inside and outside corporate environments. The need to identify, manage, control and secure a quickly growing web of connections and outside devices is making the already challenging task of security even more important, and onerous. In his session at @ThingsExpo, Rich Boyer, CISO and Chief Architect for Security at NTT i3, will discuss new ways of thinking and the approaches needed to address the emerging challenges of securit...