The government of Nova Scotia congratulated Liquefied Natural Gas Limited (LNGL) on its proposal to develop an LNG export facility at Bear Head, just outside Port Hawkesbury.
The Australia-based company announced an agreement to acquire 100 percent of Bear Head LNG Corp. from Anadarko Petroleum. The sale is expected to close before the end of August. LNGL will make the site an LNG export facility, with possible future expansion, based on the market.
As part of the project, the company has developed a gas supply and transportation plan, and secured interest from several parties to pay tolls to use the facility in Bear Head.
Energy Minister Andrew Younger met with LNGL representatives and is satisfied the company wants to work with the community to build a sustainable project.
“This is a great step toward making Nova Scotia an LNG export destination and represents a tremendous opportunity for rural economic development,” said Younger. “LNGL chose to set up this business in Nova Scotia over a number of other viable markets. They chose Nova Scotia because of our proximity to the world’s major markets, our established regulatory regime, and the support displayed by Nova Scotians for these types of projects.”
Anadarko Petroleum developed the Bear Head site as a regasification plant.
“This project is off to a solid start with the partial development at Bear Head, which means reduced risk for LNGL,” said Younger. “LNGL also has an experienced executive team to drive the project’s development, further increasing the export terminal’s likeliness of success.”
The next step is to determine what environmental approvals are necessary.
Press Release, July 30, 2014; Image: andrewyounger.ca