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October 27, 2017 3:31 pm

Another LNG Project Halted

Thursday, September 14, 2017 @ 10:27 AM

Prince George, B.C. – The promise of LNG  as a new   industry in  B.C. has  suffered another set back as Nexen  Energy  and INPEX Gas B.C.  have decided to pull the plug on the Aurora LNG feasibility  study.

The company  has announced it will “cease all investigation activity, effective immediately.”

Aurora LNG has been  working for four years on the feasibility of  liquefying and shipping LNG from Prince Rupert to  markets in Asia.  The company has  concluded   the  economic environment  “does not currently support the partners’ vision of developing a large LNG business at the proposed Digby Island site.”

In a release issued this morning, the  partners say their  upstream operations from their Horn River natural gas assets in northeast British Columbia will continue, and they will monitor  the North American gas market to “evaluate future upstream and downstream investments according to market conditions.”



I can see the Dippers/Greenies high fiving each other!

    And also those with a calculator with a charged up battery . Or a solar powered calculator , like mine .

As they are returning from buyng ng based clothing for the upcoming winter.

The cancellation has nothing to do with the market, it’s all the NDP’s fault because that’s what all the Liberal lovers think.

‘The company has concluded the economic environment “does not currently support the partners’ vision of developing a large LNG business at the proposed Digby Island site.”’

Read: ‘Why would we possibly proceed with a project that the current provincial government is strongly opposed to? Why would we not take our capital to a more business-friendly jurisdiction that recognizes the importance of economic development?’

Thanks Dumb and Dumber.

Just like last time – the last one out can turn off the lights.

    Economic development? In a world wide glutted market? The purpose of business is to get a return, a profit. That’s not likely with the LNG glut. It would more likely be a loss. Dream on though. Put your own money into it, and let us know how you get on developing the economy.

      That is why they spent 4 years of money on it already, there was no glut a couple years ago? Ok then

      The article says, “Nexen Energy and INPEX Gas B.C. have decided to pull the plug on the Aurora LNG feasibility study.”

      They spent some money on a FEASIBILITY study and decided it was not feasible. Isn’t that a normal business practice, to do your due diligence before committing? OK then!

Not really a glutted market a slow and steady increase speeding up after 2020. The main issue in BC is the slow environmental approvals with the US taking advantage of that.

Maybe that Russia and China signing a huge natural gas deal had a bit to do with it.. and the price is stagnant even in the crazy market.. has been for a decade..

BC was never really into the LNG game. They were a day late and a dollar short.

In fact this is another testament to the Liberals inability to get any project of any significance off the ground.

If there was money to be made in LNG these companies would go ahead and build, problem is the competition is too stiff and the price is too low.

Petronas has LNG plants all over the world. If they dont build one in Prince Rupert, they still are a huge player in the LNG market.

The real question is. Where will all this natural gas go if they do not export it. Will they sit on it for 20 years until the market is more to their liking, or will they sell it to the USA and make a profit. The USA will then export it through their LNG plants, and BC will be left holding the bag.

BC was late to LNG game and were on the outs with any projects unless they were willing to give everything away for free including the gas and required electricity. They can’t compete with the current players, like Europe, Asia and Australia as they all have already developed LNG infrastructure. Most of the proposed projects required massive investments and given the low price for LNG on the market they were all unprofitable. In the future they may be viable, but by that time renewable energy will supplant them.

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