Producer Group Rallies for Another BC LNG Terminal to Unlock Stranded Gas

摘要

If there's one thing Western Canada has in abundance it's natural gas,but the main thing it lacks is enough market to absorb it all.And perhaps it never will,but that's not stopping a consortium of producers from trying.Ten companies active in the Montney and Duvernay Shales-including Seven Generations Energy,Peyto Exploration and Development and Advantage Oil & Gas-have formed a group to ferret out additional outlets for their gas,including helping to kick-start a second major LNG export project in British Columbia.The producers would not build the terminal themselves.Rather,they would agree to enter attractive tolling contracts with the developer and,as a result,take on the majority of the price risk.They can also help with First Nations consultations and run other traps to smooth the road forward.That ambitious solution to unleashing stranded gas might have a chance,but only if the group thinks big,said Jen Snyder,a director at consultancy RS Energy Group in Calgary.”I suspect they are looking for something bigger than Steelhead,”Snyder told Energy Intelligence,referring to Steelhead LNG's recently canceled 1.8 billion cubic feet per day Kwispaa LNG terminal near Vancouver(NGW Feb.25’19).The key to a project like this is a scale worthy of the resource backstopping it,she explained.