CALGARY, Oct. 13, 2011 /PRNewswire/ - Kitimat LNG partners Apache Canada Ltd.
(Apache Canada), EOG Resources Canada Inc. (EOG Canada) and Encana
Corporation (Encana) today announced that the National Energy Board
(NEB) has granted Kitimat LNG a 20-year export licence to ship
liquefied natural gas from Canada to international markets.
"The Kitimat LNG project represents a remarkable opportunity to open up
Asia-Pacific markets to Canadian natural gas and we're leading the way
in being able to deliver a long-term, stable and secure supply to the
region," said Janine McArdle, Kitimat LNG President. "This export
licence approval is another major milestone for Kitimat LNG as we move
forward and market our LNG supply. LNG customers can have even more
confidence in a new source of supply."
"Today marks a historic day for Canada's natural gas industry and this
is fantastic news for our project and the communities where we operate.
Kitimat LNG will bring revenues and jobs and the associated benefits to
Canada," said Tim Wall, Apache Canada President. "The Kitimat LNG
partners are very pleased with the NEB's approval of our export licence
and we'd like to thank them for their support and confidence in the
The Kitimat LNG export facility is planned to be built on First Nations
land under a partnership with the Haisla First Nation.
The facility will be served by Pacific Trail Pipelines Limited
Partnership's natural gas pipeline which will run from Summit Lake to
Kitimat. The 463-kilometre underground line will provide the terminal
with a direct connection to the Spectra Energy transmission pipeline
system and excellent access to natural gas supplies in British
Kitimat LNG is currently carrying out a Front End Engineering and Design
(FEED) study which will provide certainty around project design,
construction timelines and costs and labour force requirements. The
FEED study is expected to be complete by early in 2012 followed by a
final investment decision by the partners.
About the Kitimat LNG facility and the PTP Pipeline
Apache Canada, EOG Canada and Encana plan to build the Kitimat LNG
facility on IR#6 Bish Cove, approximately 650 kilometres (400 miles)
north of Vancouver. The facility is planned to be built on First
Nations land under a unique partnership with the Haisla First Nation.
The initial phase of the facility has a planned capacity of
approximately 5 million metric tonnes of LNG per annum or the
equivalent of nearly 700 million cubic feet per day. PTP is planning to
build a 463-kilometre (287-mile), 914-mm (36-inch) diameter underground
line from Summit Lake, B.C. to Kitimat. Pacific Northern Gas Ltd. (PNG)
will operate and maintain the planned pipeline under a seven-year
agreement with Apache Canada, EOG Canada and Encana, with provisions
for five-year renewals.
Kitimat LNG project background and other information
Additional information about the Kitimat LNG project, including
illustrations, an animated video, and previously issued news releases
can be found at www.kitimatlngfacility.com
Key milestones for the project include:
October 2011 - Canada's National Energy Board grants Kitimat LNG a 20
year Export Licence to serve international markets.
July 2011 - Kitimat LNG purchases Eurocan industrial site
March 2011 - Apache and EOG welcome Encana to the Kitimat LNG
March 2011 - Kitimat LNG front-end engineering and design awarded to KBR
March 2011 - Apache and EOG acquire all of Pacific Trail Pipelines
December 2010 - KM LNG Operating General Partnership files Canadian
Federal Export Licence Application
December 2010 - EOG closes agreement on purchase of 49 percent of
November 2010 - Documents fully executed for land leases with related
November 2010 - Haisla First Nation votes overwhelmingly to approve land
May 2010 - EOG Resources Canada signs pre-acquisition agreement to
purchase remaining 49 percent of project
January 2010 - Apache purchases 51 percent of project and becomes
August 2006 - Canadian federal environmental assessment decision
June 2006 - Canadian provincial environmental assessment approval
About Apache Canada Ltd.
Apache Canada Ltd., a subsidiary of Apache Corporation (NYSE, Nasdaq:
APA), is one of Canada's top oil and gas producers with operations in
Alberta, British Columbia and Saskatchewan. Apache Corporation is an
oil and gas exploration and production company with operations in the
United States, Egypt, the United Kingdom North Sea, Australia and
Argentina, in addition to Canada. Apache common stock is listed on the
New York Stock Exchange and quoted on the NASDAQ National Market under
the symbol APA. Apache posts announcements, updates and investor
information, in addition to copies of all recent press releases, on its
About EOG Canada
EOG Resources Canada Inc. is a wholly owned subsidiary of EOG Resources,
Inc. (NYSE: EOG), one of the largest independent (non-integrated) oil
and natural gas companies in the United States with proved reserves in
the United States, Canada, Trinidad, the United Kingdom and China. EOG
Resources, Inc. is listed on the New York Stock Exchange and is traded
under the ticker symbol "EOG." For more information, visit www.eogresources.com.
About Encana Corporation
Encana (TSX, NYSE: ECA) is a leading North American natural gas producer
that is focused on growing its strong portfolio of natural gas resource
plays in key basins from northeast British Columbia to east Texas and
Louisiana. By partnering with employees, community organizations and
other businesses, Encana contributes to the strength and sustainability
of the communities where it operates. Encana common shares trade on the
Toronto and New York stock exchanges under the symbol ECA. For more
information about Encana visit www.encana.com
SOURCE KM LNG