A joint venture between international engineering firms Fluor Corporation (NYSE:FLR) and JGC Corp. has been awarded the engineering, procurement and construction contract by Chevron Canada for its proposed liquefied natural gas export facility, Kitimat LNG.
Kitimat LNG – a large-scale LNG facility proposed for Bish Cove, near Kitimat in northwest British Columbia – is co-owned by Chevron Canada and Apache Corp.
According to a provincial government press release, JGC will be responsible for the liquefaction facilities, while Fluor will oversee utilities and offsite facilities.
Apache and Chevron, however, have not yet announced a final investment decision on the project.
“We are excited to enter into the next phase of supporting the Kitimat LNG project for Chevron and their partner Apache,” Peter Oosterveer, president of Fluor’s energy and chemicals division, said in a statement.
“Kitimat [LNG] has the potential to become the Canada’s first major LNG production and export terminal. Our strategic relationship with JGC was a key to winning this project.”
Kitimat LNG is a proposed $4.5 billion export facility. The project has received an export licence from the National Energy Board to export up to 10 million tonnes of LNG per year for 20 years.
Both the provincial and federal governments have approved an environmental assessment of the project.
