Enbridge Invests $1.5 Billion in Woodfibre LNG Project
Enbridge, a Canadian company, has agreed to invest $1.5 billion in a joint initiative with Pacific Energy to build and operate the $5.1 billion Woodfibre LNG project.
The move comes after seeing a spike in liquefied natural gas (LNG) exports from North America to Europe, which is looking for alternatives to Russian gas in the wake of Russia's invasion of Ukraine.
Under the terms of the agreement, Enbridge will invest $1.5 billion for a 30 per cent ownership in the 2027-scheduled project. The remaining ownership in the LNG export facility will be retained by Pacific Energy.
The project will also involve the expansion of the Eagle Mountain to Woodfibre pipeline operated by FortisBC Energy.
The pipeline will link the export plant to Enbridge's T-South natural gas transmission system, which will transport gas from the Montney region of British Columbia.
The Woodfibre LNG project in Squamish, British Columbia, will have an annual export capacity of 2.1 million tonnes and a floating storage capacity of 250,000 cubic metres.
Enbridge president and CEO Al Monaco said:
“This facility will provide global LNG markets with a safe, secure, and sustainable source of BC natural gas through a long-term transportation agreement on our T-South pipeline system.
“Expanding global access to natural gas through LNG will play a critical role in North America’s energy future and will help to reduce the world’s greenhouse gas emissions through the displacement of coal-fired power generation, creating strong alignment with our ESG goals.”
Source: Offshore Technology
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