CALGARY, Dec. 16, 2013 /CNW/ – The National Energy Board (NEB or Board) has approved applications for 25 year natural gas export licences to export liquefied natural gas (LNG) to:
- Prince Rupert LNG Exports Ltd. for a maximum term amount of 824.58 109 m3,
- Pacific NorthWest LNG Ltd. for a maximum term amount of 798.96 109 m3,
- WCC LNG Ltd. for a maximum term amount of 1,103 109 m3, and
- Woodfibre LNG Export Pte. Ltd. for a maximum term amount of 85.52 109 m3.
Issuance of the licences to export LNG is subject to the approval of the Governor in Council.
Recent developments in gas production technology have resulted in a significant increase in the Canadian gas resource base and North American gas supply. One of the major impacts of this increase is lower demand for Canadian gas in traditional gas markets in the United States and eastern Canada. As a result, the Canadian gas industry is seeking to access overseas gas markets through exports of LNG.
When evaluating LNG export licence applications, the Board considers if the quantity of gas proposed to be exported is surplus to Canadian requirements, taking into account trends in the discovery of gas in Canada. Each application is assessed on its own merits. The Board determined that the quantity of gas proposed to be exported for each application will be surplus to Canadian requirements. The Board is satisfied that the gas resource base in Canada, as well as North America, is large and can accommodate reasonably foreseeable Canadian demand, the LNG exports in these applications, and a potential increase in demand. The Canadian natural gas market will continue to respond appropriately to changes in supply and demand.
The Board continuously monitors the Canadian and North American natural gas market. The Board has technical expertise in gas market supply and demand fundamentals and geological resource assessment. Natural gas market assessments, including long-term and short-term reports, are available on the Board’s website. For a full list, please see Energy Report – Natural Gas.
The National Energy Board is an independent federal regulator of several parts of Canada’s energy industry with the safety of Canadians and protection of the environment as its top priority. Its purpose is to regulate pipelines, energy development and trade in the Canadian public interest. For more information on the NEB and its mandate, please visit www.neb-one.gc.ca.
This news release is also available on the Board’s Internet site under What’s New!
SOURCE Government of Canada
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