LNG

First LNG exports from BC likely to be small-scale

Small-scale LNG projects appear more secure than their large-scale rivals in British Columbia, as oil prices and budget cuts bite Small-scale LNG projects appear more secure than their large-scale rivals in British Columbia, as oil prices and budget cuts bite.
By Andrew Walker 11 February 2015 0 15237
There are 18 large and small-scale export projects planned in BC, and a number in the Kitimat area. (LNG Canada)

Small-scale LNG projects on Canada’s Pacific coast are pressing ahead, while their larger and more capital-intensive rivals struggle with low oil and gas prices, slashed capex budgets and reduced Asian demand.

There are 18 large and small-scale export projects planned in British Columbia (BC), but initial enthusiasm for many of them – stemming from abundant reserves and short transport distances to Asia – has turned to uncertainty.

The changing market conditions have caused a number of the large greenfield projects to delay their FIDs (see