Premier Christy Clark has signed a letter of intent with Petronas, Malaysia’s national energy company, that addresses collaborative work in producing liquefied natural gas (LNG) in British Columbia and exporting it to Asian markets, the provincial government announced May 5.
The agreement outlines a framework for working toward a final investment decision pertaining to the development of an $11 billion LNG facility in Port Edward, B.C., through Petronas’ enterprise comprised of Pacific NorthWest LNG and Progress Energy Canada.
“It is vital for Petronas and its partners that the integrated project, comprised of Pacific NorthWest LNG Ltd. and Progress Energy Canada Ltd. remain on track to reach our final investment decision by the end of 2014 to meet energy demands of our Asian buyers,” said Petronas president and CEO Tan Sri Dato' Shamsul Azhar Abbas.
“We have been engaging with the government of British Columbia to ensure that the projects costs remain economically viable.”
The agreement will see both Petronas and the provincial government assigning executives to prepare terms for the project development agreement by June 30, and for this project to be negotiated by November 30.
