Newsletter: News on CGL, LNG Canada, and more

(Our newsletter: 02 February 2023)

 News updates about Coastal Gas and LNG Canada

An update from TC Energy this week estimated the cost of the Coastal GasLink pipeline in BC at $14.5 billion. That’s up 134% from an estimate of $6.2 billion in 2019. The line now is 83% complete over-all.

And an update from LNG Canada looked at how much the company and its contractors have spent through contract and procurement awards.

“When we began construction of Canada’s first large-scale LNG export facility, we committed to providing British Columbia with local benefits through contracts, procurement, social investment, training and skills development. . . .

“To date, LNG Canada has invested more than $3.9 billion in contracts and procurement to businesses in British Columbia. That includes more than $3 billion awarded to Indigenous-owned and local area businesses.”

And a construction update from Coastal GasLink included this: “With Sections 2 & 5 nearing 100% pipe installation, we’ve got less than 20% to go.”

And at the BC Natural Resources Forum in Prince George, CEO Jason Klein (centre in the photo above) gave reports on construction progress and Indigenous leadership. So did president Bevin Wirzba (right) of Coastal GasLink.

Meanwhile, Vancouver Sun columnist Vaughn Palmer noted that LNG Canada will have to use natural gas to generate power if it goes ahead with Phase Two of the Kitimat project, which would double its production of LNG for export. This because BC Hydro can’t provide enough power.

Palmer pointed out that in 2013, Hydro decided to shelve a proposed new 500-kilovolt transmission line from Prince George to Kitimat, citing perceived lack of need for the power.

Palmer continued: “Even then, 10 years ago, there were several proposals to develop LNG at Kitimat and elsewhere on the North Coast. If Hydro had gone ahead and built the line, it could have been ready to electrify the entire LNG Canada plant by now.”

But instead we have LNG Canada’s Klein saying: “The transmission infrastructure just isn’t there.”

The question now is whether BC would approve of Phase Two. Premier Eby is saying there will be “no exception” to the requirement that the expanded project fit within B.C.’s targets for greenhouse gas emissions.

And on the federal scene, our Alliance blog complained: On LNG exports to Asia and Europe: Prime Minister Trudeau and ‘a pair of world-class opportunities cast aside for no apparent reason.’

Cedar LNG: What are we waiting for?

Crystal Smith, elected chief councillor of the Haisla Nation, and leader of its Cedar LNG project, expressed frustration at a delay by the BC government on a green-light decision on Cedar LNG.

The BC Environmental Assessment Office (EAO) completed its assessment last Nov. 16, and sent it off to BC’s environment minister. The EAO noted that provincial ministers have up to 45 days for a decision, so many assumed that Dec. 31 was a ministerial deadline.

But the fine print said that’s actually up to 45 days to decide whether to:

  • issue an environmental assessment certificate,
  • not issue an environmental assessment certificate, or
  • require further assessment.

Dec. 31 and subsequent weeks passed with no ministerial decision or announcement, but we did eventually hear that “further assessment” was being done.

Chief Crystal said in an interview: “In regard to the approval of the environmental assessment, it has definitely been frustrating to say the least. . . . Cedar LNG is at such a critical point with what’s happening globally in the energy sector.”

The Cedar LNG graphic above came from Alberta-based Canada Action, which posted two messages in its graphics about Cedar LNG: “What are we waiting for?” And: “Cedar LNG is positive no matter what angle you look at it from.”

Canada Action ran two more graphics, which appear at the bottom of this newsletter.

Also on Cedar LNG, another Alberta agency, Friendly Energy (an offshoot of the Alberta government’s Canadian Energy Centre) weighed in with this: First Nations are playing an increasingly important role in Canada’s oil and gas. And one of the largest Indigenous-owned projects is getting closer to becoming a reality.

ALSO IN THE NEWS

  • FortisBC signs agreement with First Nation over Tilbury LNG project in BC: http://ow.ly/mQ6M50MCT1H Snuneymuxw First Nation news release: http://ow.ly/KgRK50MCSZ6
  • Woodfibre LNG plans to hire 800 people for construction, starting in mid-year: http://ow.ly/EzG350MzvNT And FortisBC eyes November opening for work-camp for natural-gas transmission system for Woodfibre LNG: http://ow.ly/A9oz50MyXGV
  • Any further Canadian LNG exports ‘would have to be done in a manner that’s consistent with Canada meeting its own climate objectives.’ — federal minister. http://ow.ly/xmPt50Mw9eA
  • Vaughn Palmer in The Vancouver Sun: The Blueberry River First Nations agreement: When ‘historic’ wasn’t an exaggeration: http://ow.ly/sw9E50MyQTK
  • The oil/gas industry in BC, from 2018 to 2021, spent over $4.7 billion in 140 municipalities and Indigenous Nations, for goods and services from more than 2,400 businesses: http://ow.ly/euWH50Mv3lY

And here are the two other graphics about Cedar LNG, from Canada Action:

DATES

 February

March

April

  • From the First Nation’s Major Projects Coalition, the Values Driven Economy Conference, April 24-25, Vancouver. http://ow.ly/rWEE50MnKe6

May

  • Canada Gas and LNG Exhibition and Conference, May 9-11, Vancouver: http://ow.ly/YxcZ50LjFM1
  • The Forward Summit 2023, May 17-18, Grey Eagle Resort & Casino near Calgary. Registration: http://ow.ly/Q8ZV50K7FYb (Note that there’s an Indigenous discount.)

June

July

September

October

2024

  • The International Gas Research Conference, May 13-16. Our Karen Ogen-Toews is on the national organizing committee. Conference website: https://igrc2024.org/

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(Posted here 05 February 2023)

 

 

 

 

 

First Nations LNG Alliance Newsletter