Among those betting on development of the industry in B.C. is Surrey-based business consultant Randall McGregor, who was among the 100 people at the LNG-Buy BC seminar held in Surrey on January 20, handing out business cards to government representatives and telling them there are hundreds of local companies ready to profit from various potential LNG projects.
“It’s important that we be proactive and involve ourselves in this process. The potential for B.C. in the LNG sector is enormous.”
McGregor said he’s working with multiple Surrey companies that would love to get in on any potential contracts, including Affinity Manufacturing, which specializes in manufacturing custom machinery parts.
“I think that the LNG industry in B.C. offers excellent opportunities for all B.C. firms. It is imperative that they research the opportunities immediately and not wait until it’s too late.”
Anita Huberman, chief executive officer of the Surrey Board of Trade, who spoke at the event, called the prospect of LNG in B.C. a “once-in-a-generation opportunity.”
However, many who attended the information session – which required the presence of two RCMP officers and drew protesters who dominated its question period – voiced concerns about the provincial government’s bid to help private companies tap the massive supply of natural gas in northeastern B.C.
Issues raised included earthquakes, foreign companies taking away local jobs, First Nations’ land title rights, reports that Japan and China, which would be major export destinations for B.C. LNG, are already trying to wean themselves from natural gas, and questions about the safety of the fracking process.
There are also fears that depressed oil prices could threaten LNG projects in B.C.
The Petronas Pacific NorthWest LNG plant that would be built in Prince Rupert is considered a front-runner in the race to develop an LNG industry in B.C., but when oil revenue dropped Petronas decided to delay its final investment decision.
ExxonMobil Canada Ltd. (NYE:XOM) and Imperial Oil Resources Ltd. (TSX:IMO) recently initiated an environmental review process for a $15 billion-to-$25 billion LNG plant in Prince Rupert through the filing of a project description.
Earlier that day provincial program advocate and former BC Liberals leader Gordon Wilson, who moderated the event at the Sheraton Guildford Hotel, said he’d just come from Prince George, where people voiced concerns similar to those raised in Surrey.
“The reason I need to do some myth-busting is because one of the things that I’ve learned is that many British Columbians don’t know what it is – it’s essentially natural gas,” Wilson said. “There’s some anxieties in some communities that feel they might be affected by it, so we need to make sure we continue to have a dialogue around it.”
One question from the audience centred around Australia’s recent push into the LNG market. The country has four operating LNG developments and six more under construction, but the initial construction phase was marred by massive cost overruns.
“Australia made a lot of mistakes,” answered Wilson, “and they seriously misjudged how quickly they could tool up their workforce. So we’re hoping to learn from their mistakes.”
The LNG-Buy BC information seminar was one of several town hall events being held around the province.
In October the government will host the third annual International LNG in BC Conference at the Vancouver Convention Centre. •
– With files from
Nelson Bennett
