Canada Approves 40-Year Export Licence for Woodfibre LNG Project
- Business & Finance
The Government of Canada has approved a 40-year export licence for the Woodfibre LNG Project in Squamish, British Columbia.
“We know there is tremendous demand for natural gas, especially in the fast-growing countries of Asia. The approval of Woodfibre LNG’s 40-year export licence provides certainty for investors while creating jobs for Canadians as the world moves toward a low-carbon future,” Jim Carr, Canada’s Minister of Natural Resources, said in a statement.
“This project also underscores the significance of working together with First Nations communities, as it will lead to environmental protection and economic benefits for the Province of British Columbia and the Squamish Region,” he added.
On April 6, 2017, the National Energy Board (NEB) announced that it had granted the 40 year export licence to the Woodfibre LNG Project, subject to a Governor in Council approval.
In its decision, the NEB found that the quantity of natural gas proposed to be exported by the Woodfibre LNG Project, for a term of 40 years, is surplus to Canadian needs, and can accommodate a plausible increase in demand as well as exports proposed by the project.
The project received a 25-year licence to export approximately 2.1 million tonnes of LNG per year in December 2013. However, amendments to the National Energy Board Act Part VI Regulations in 2015 increased the maximum term to 40 years.