Canadian National Energy Board has approved Steelhead LNG’s applications for five licences to export in the aggregate up to 30 million tonnes of liquefied natural gas per year for 25 years from its two proposed LNG projects on Vancouver Island.
One licence to export up to 6 million tonnes of LNG for 25 years is allocated to Malahat LNG, the proposed floating liquefaction and export LNG terminal adjacent to Malahat Nation land, eight kilometres south of Mill Bay, B.C.
The other four licences, to export in the aggregate up to 24 million tonnes of LNG per year for 25 years, are allocated to the proposed LNG project Steelhead LNG is exploring with the Huu-ay-aht First Nations on Huu-ay-aht land at Sarita Bay, 75 km southwest of Port Alberni on the west coast of Vancouver Island, the company said on Friday.
Steelhead LNG and the Malahat Nation revealed the proposed Malahat LNG project in August, 2015, along with the completion of a mutual benefits agreement and long-term lease. The proposed project would include floating liquefaction facilities moored to the shoreline and supported by minor land-based facilities.
For the proposed liquefied natural gas project at Sarita Bay, which is in the feasibility stage, Steelhead LNG signed a contract in February with Worley Parsons for the provision of preliminary front-end engineering and design studies, geotechnical investigations, environmental impact assessments, and permitting approvals support.
In September Steelhead LNG also signed a pre-construction agreement with Williams unit, Northwest Pipeline to commence with the design and regulatory approvals for a proposed natural gas pipeline (the Island Gas Connector Project) that would deliver Canadian natural gas to Vancouver Island as well as the agreement with Höegh LNG, for Höegh LNG and Bechtel to perform the pre-front end engineering and design work for Malahat LNG.
Image: Steelhead LNG