LNG Plans Tied to Supply

The fate of four proposed liquefied natural gas projects in the province essentially comes down to the ability to secure supply, says Nova Scotia’s deputy minister of energy.
Murray Coolican appeared before the legislature’s resources committee Tuesday to discuss geoscience research and potential growth for the offshore.
During his remarks, Coolican said his department is doing everything it can to help three proposals for LNG terminals in Guysborough County and one outside Port Hawkesbury succeed, but ultimately “it depends on their ability to access gas from the West Coast, from the United States and the offshore.”
The department has done work through the years on pipeline capacity as a way of supporting such projects, said Coolican. Other supports include co-ordinating the government agencies involved in the regulatory process and helping to broker community relationships and First Nations consultations, he said.
A recent report by Harvard University economist Leonardo Maugeri pegged the proposal in Guysborough County by Pieridae Energy as the most likely in all of Canada to become reality.
Maugeri pointed to the
company’s 20-year deal with utility E.ON of Germany to purchase half the 10 million tonnes of liquefied natural gas Pieridae hopes to produce each year.
Other proposals in the province include Liquefied Natural Gas Ltd.’s Bear Head project outside Port Hawkesbury and Nova Scotia LNG Inc.’s and H-Energy’s projects, both in Guysborough County.
Coolican cited the respective communities’ support for the proposals and positive stance through approval processes as reasons for optimism.
Should all four projects go ahead, the total investment could exceed $15 billion, he said.
Meanwhile, the recent slump in oil prices has not affected exploration work by Shell or BP, said Coolican.
If anything, he said, the companies’ continued work speaks to the potential of the province’s offshore resources.