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LNGL asks to double Bear Head LNG capacity

  • Spanish Market: Natural gas
  • 03/11/14

Australian developer LNG Limited (LNGL) has increased the scope of its planned Bear Head LNG export facility in Canada to 8mn t/yr from 4mn t/yr amid strong market demand and higher projected gas supplies.

LNGL has applied to the Nova Scotia provincial government to alter Bear Head's construction and environmental approvals to allow it to convert the project from an LNG import facility to an LNG export facility. The company, which bought the project from US independent Anadarko in August, plans to make a final investment decision (FID) in late 2015 or 2016 for commercial operations in late 2018 or 2019.

The Bear Head project in Richmond County comprises a 255 acre (1km²) site comprising 180 acres of industrial zoned land and 75 acres of deepwater port acreage, as well as foundations in place for two 180,000m³ LNG tanks. Anadarko had planned in the mid-2000s to build an import terminal at Bear Head but could not secure long-term supplies.

Onshore gas supplies will require building a gas transmission pipeline from the Maritimes and Northeast Pipeline (M&NP) linking the northeast US to Canada, LNGL said. MN&P is connected to the pipeline network covering the Marcellus Shale region in northeast US.

LNGL is also developing the Magnolia LNG project on the Calcasieu river, near Lake Charles in Louisiana. The first phase will comprise two 2mn t/yr LNG production trains and two 160,000m³ LNG storage tanks, with a second phase lifting production to 8mn t/yr. LNGL plans to make a FID on Magnolia and start construction next year, with exports starting in 2018.

joc/rjd

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