Map of the now cancelled Grassy Point LNG project. (CEAA photo)

Australian company ends Grassy Point LNG project

Another liquefied natural gas project on the North Coast, B.C. ends its commitment

Woodside Energy Ltd. has silently withdrawn from its Grassy Point LNG project on the North Coast of B.C.

“In January 2018, Woodside elected not to renew its Sole Proponent Agreement for the Grassy Point LNG site on the north-west coast of British Columbia,” as stated Woodside Petroleum’s 2017 Annual Report released last month.

The liquefied natural gas (LNG) terminal site was proposed 30km north of Prince Rupert, near Lax Kw’alaams. The Australian company began geotechnical surveys on Grassy Point in 2014.

In 2015, the National Energy Board gave the project a licence to export 20 million tonnes of LNG a year for up to 25 years. There wasn’t much progression on the project following the March 2016 open house.

READ MORE: Which LNG projects are left in Prince Rupert

This is the latest LNG project on the North Coast to withdraw interest. In Dec. 2017, WCC LNG announced it was closing its office on First Avenue in Prince Rupert due to current LNG market conditions and economic uncertainties. Previous to that project, Nexen Energy backed out of its Aurora LNG project on Digby Island in September.

Interest in the Kitimat LNG project still remains. The report mentions the Kitimat project as the one of the “most advanced LNG opportunities in Canada.” Woodside has a 50/50 joint venture in the project with Chevron Canada Ltd.

While Woodside states in its annual report that it’s “engaging governments to establish a clear, stable and competitive fiscal framework”, its project partner, Chevron Corp, may be less certain. A report from Reuters on March 5 states that Chevron is possibly looking to sell a minority stake in the Kitimat LNG project.

Chevron’s communications lead, Ray Lord, responded to Black Press Media’s query stating that “Chevron is not in a position to comment on commercial matters, rumours or speculation.”

Meanwhile, in Shell’s LNG Outlook 2018 the company is predicting a global supply shortage for LNG by mid-2020s unless new production projects come online soon.

READ MORE: Aurora LNG backs out



shannon.lough@thenorthernview.com

Like us on Facebook and follow us on Twitter

Just Posted

ARTS AROUND: Join watercolour workshops in Port Alberni

Victoria artist Joanne Thomas will provide beginner and advanced classes

‘Beauty amongst such tragedy:’ B.C. photographer captures nature’s trifecta

David Luggi’s photo from a beach in Fraser Lake shows Shovel Lake wildfire, Big Dipper and an aurora

Bullhead derby returns to Port Alberni with new date, location

Lions Club partners with Maritime Discovery Centre

Vancouver Island woman to attempt historic swim across Juan de Fuca Strait today

Ultra-marathon swimmer Susan Simmons to attempt to swim from Victoria to Port Angeles and back

Port Alberni RCMP honour fallen officers from New Brunswick

Moment of silence, prayers held for Fredericton officers killed last week

‘We will not forget:’ Thousands attend funeral fallen Fredericton officers

Hundreds of officials marched in the parade, which included massed band, several police motorcycles

RCMP looking for missing Duncan teen

Dallas Macleod, 18, was last seen on Aug. 10

Evacuation order issued in Island village due to “risk of falling debris”

Fire continues to threaten town’s only access road

B.C. man designer behind Canucks’ retro jersey

Jeremie White was 20 years old when he told Canucks assistant GM Brian Burke he had a design

Lions give up late TD in 24-23 loss to Argos

B.C. falls to 3-5, fumbling away last-minute chance in Toronto

Eagle tree cut down legally a 1st for B.C. city

Planned eagle preserve ‘a first for City of Surrey’

Smoky skies like a disappearing act for sights, monuments around B.C.

Haze expected to last the next several days, Environment Canada said

Canadians react to death of former UN secretary-general Kofi Annan at age 80

Nobel Peace Prize-winning former UN leader died early Saturday following a short illness

Most Read