First Nations LNG Alliance Newsletter 08 – Canada: the US discount store


That was a meaningful one-liner on Twitter from Ellis Ross:  “Canada; the resource discount store where the US does all its oil and gas shopping.”

Sadly true. And how sad that so many opponents of developing LNG in BC pass over this key point—that unless we export LNG to new Asian markets, we simply continue to sell our gas to the US, at a discount; and while they still need and want it.

Then the US turns our natural gas into their LNG and resells it, at a profit, to those new Asian markets.

And what good do we get out of that?


Here’s another point inexplicably rejected by opponents of BC LNG, among them BC Green Party leader Andrew Weaver. They protest that producing LNG means more greenhouse-gas emissions in BC—but ignore how using BC LNG to replace coal-fired power-stations in Asia would actually reduce global emissions.

This last point now has been confirmed and reinforced by a study from four universities, which finds that BC offers a net benefit by cutting world GHGs.

“The potential economic and environmental benefits have made the justification for exporting natural gas from Canada to the Asia-Pacific region compelling,” concludes the report, published in Environmental Science and Technology and summarized in Business in Vancouver.

The report adds: “The climate implications of these findings will be important for policymakers as they consider LNG export policies, trade agreements, as well as national electricity generation and environmental policies.”

We hope the policymakers actually read the report.

On all this, we’re encouraged by the recent words of BC Premier John Horgan: “I think we have a real opportunity of perhaps landing one or two LNG facilities here in British Columbia.”

And BC’s energy minister, Michelle Mungall, has also signalled support for LNG. “Our position has always been supportive of LNG, as long as the industry meets our four conditions. And what I think is important to remember is that conditions are not roadblocks, they’re roadmaps.”


On the heels of that university report came a video news interview in which the Business News Network talked with Jeff Tonken, CEO of a Calgary-based oil and gas firm, Birchcliff Energy.

His message: “I cannot believe that Canadians aren’t interested in the thousands and thousands of jobs associated with LNG and the revenues associated with that, which would help pay all of the economic, health, and education issues that we have in this country.”

That reminded us of these numbers, neatly put by Natural Resources Canada:

Many First Nations seriously need those jobs and benefits. 

Mr. Tonken also reminded us that we need action from governments to give BC’s LNG momentum a productive push, and help Canada to be competitive with US LNG projects.

As you read this, an LNG carrier is making its way towards the newest US LNG export terminal, at Cove Point, Maryland. That used to be an LNG import terminal but has been rebuilt to handle liquefaction and exports.

Meanwhile, we see that Cheniere Energy’s export LNG plant in Louisiana sent 209 LNG cargoes to 25 countries in 2017. And Cheniere is accelerating work on another terminal at Corpus Christi, Texas. It already has agreements with China.

On top of those, three more LNG projects are under construction in the US, and four others have been approved but are not yet under construction. Eleven more are in various stages of environmental review or planning.

What are we waiting for?

First Nations LNG Alliance Newsletter