PetroChina approves LNG Canada investment

Shell-led LNG Canada project has made a major step forward with the Chinese project partner, PetroChina approving a $3.46 billion investment. 

The state-owned PetroChina held a shareholder meeting on September 28, the company said in a filing to the Hong Kong stock exchange.

For the C$40 billion ($31 billion) project, that would see Canadian LNG delivered to Asia, to go ahead the remaining partners will have to make the same decision.

Partners in the project besides Shell and PetroChina include Malaysia’s energy giant Petronas, Japan’s Mitsubishi Corporation and South Korea’s Kogas.

The proposed project includes the design, construction and operation of a gas liquefaction plant and facilities for the storage and export of LNG, including marine facilities in Kitimat.

The plant will initially consist of two LNG trains each with the capacity to produce at least 6.5 million tons per annum (mtpa) of LNG, with an option to expand the project in the future to four trains.

A joint venture by Fluor Corporation and JGC has been selected to provide the engineering, procurement and construction work on the project.

LNG World News Staff