Western Forest Products said that it has completed the sale of its former pulp mill site to Woodfibre LNG at a purchase price of $21.8 million.
The sale, which was previously revealed on January 28, 2013, includes 212 acres of industrial waterfront land located at the head of Howe Sound, southwest of Squamish, British Columbia, and all associated foreshore leases, water licenses and permits, stands in the company’s statement.
The company intends to use the proceeds of sale to pay down outstanding debt and to further its strategic capital plans.
Woodfibre LNG, that had its application for an environmental assessment certificate accepted by the Environmental Assessment Office, is proposing the development and operation of an LNG production facility and floating LNG storage at the pulp mill site.
The Woodfibre LNG project comprises construction and operation of a gas processing and liquefaction facility to produce approximately 2.1 million metric tons per annum of LNG, associated storage capacity of 250,000 cubic meters, and export infrastructure.
Image: Woodfibre LNG