Canadian LNG sector faces up to the inevitable

摘要

The $36bn Pacific NorthWest LNG export project on Canada’s west coast will not proceed because it would not be competitive in the current market, the project’s developer says. The decision is a major blow to Canada’s LNG export plans. “The extremely challenging environment brought about by the prolonged depressed prices and shifts in the energy industry have led us to this decision,” Pacific NorthWest chairman Anuar Taib says. Malaysia’s state-owned oil company Petronas, the majority equity holder in Pacific NorthWest, has halted development of the planned LNG export terminal on Lelu Island in British Columbia (BC). Petronas and its joint-venture partners in the Montney shale formation will continue to develop their large gas assets in the western Canadian sedimentary basin and explore all commercial options.