The Douglas Channel LNG Consortium, led by Canadian AltaGas, said on Thursday it will halt further development of its floating LNG export project in British Columbia due to unfavourable market conditions.
The consortium, which includes Japan’s Idemitsu, EDF Trading of France and Exmar of Belgium, had planned to achieve a final investment decision on the small-scale LNG project by the end of 2015.
However, the “ worsening global energy price levels and a challenging market environment have caused the consortium to withdraw from the project ,” Douglas Channel LNG said in a statement.
Canadian National Energy Board issued a licence in January to Douglas Channel LNG project to export up to 10.3 billion cubic metres of natural gas per annum for a period of 25 years.
The plans for the LNG project included a barge-based 0.55 mtpa LNG facility with natural gas sourced from Western Canada and transported to the project site at District Lot 99, near Kitimat, British Columbia for liquefaction.
LNG World News Staff