Chevron files new Kitimat LNG application with Canada’s NEB

Chevron files new Kitimat LNG application with Canada's NEB
Image courtesy of Chevron

U.S. oil and gas major Chevron has filed a new application with the Canadian National Energy Board for a license to export liquefied natural gas from the Kitimat LNG project near Bish Cove, British Columbia. 

Image courtesy of Chevron

Early last year, media reports suggested Chevron was lining up to sell its 50 percent stake in the project to a number of buyers.

However, in its new application, Chevron is looking for a permit to export up to 20.7 million tons of LNG per year from the project for a 40-year period, including a 15 percent tolerance for operational purposes.

The project is being proposed by the Canadian units of Chevron and Australian LNG major Woodside. According to the application, both Chevron and Woodside would each own and market LNG in proportion to their own 50 percent equity share, the company said in its application.

Chevron will be the operator of a proposed natural gas liquefaction export terminal to be constructed and operated at Bish Cove, near the town of Kitimat.

The proposed Kitimat LNG terminal will consist of a natural gas liquefaction plant and the associated infrastructure and port facilities, including natural gas delivery, liquefaction, LNG storage, and LNG send-out facilities inclusive of marine off-loading.

The liquefaction plant would consist of two liquefaction trains with up to 6 mtpa production capacity each with an option for a third liquefaction train of the same capacity.

The Kitimat LNG Terminal project will also consist of an approximately 17-kilometer pipeline that will connect the LNG terminal to existing or new natural gas pipeline infrastructure in Kitimat B.C.

The commissioning of the Kitimat LNG Terminal is anticipated to be no later than 2029.