While formerly on the shelf, a pipeline that could feed a liquefied natural gas terminal in British Columbia can proceed, federal regulators said.

The National Energy Board gave Nova Gas Transmission Ltd., a subsidiary of TransCanada, approval to build a natural gas pipeline that could supply an LNG export terminal in British Columbia. The NEB's move removed a requirement that construction would have to come after investment decisions on LNG.

"In its application, NGTL requested changes to the North Montney Mainline certificate to allow the gas to flow east, and to proceed with certain components of the project independently of any final investment decision related to liquefied natural gas exports from the west coast of British Columbia," the NEB's statement read.

In July, the project was put on hold after Malaysian energy company Petronas said that, as the head of a partnership, it would no longer pursue the project because of an "extremely challenging environment" brought on by a weak market.

Pipeline and energy company TransCanada, which was involved with a Petronas affiliate on the project, said it was disappointed with the decision, but would be reimbursed for costs associated with the development.

The project carries an estimated cost about $28 billion and includes a 560-mile pipeline from TransCanada, which said there are other potential LNG projects that it would continue to explore for British Columbia.

John Horgan, the premier for British Columbia, in an inaugural mandate to his ministers last year called for stronger coordination with Green Party advocates. In a letter to the provincial energy minister, Horgan said residents should benefit from LNG so long as the programs include climate safeguards and provide a fair return on investment.

Horgan is at the center of the energy debate in Canada. One of the top energy exporters to the United States, the federal government has courted Asian economies as part of a diversification effort.

Horgan's administration has taken legal action that could thwart Kinder Morgan's plans to expand the capacity of the Trans Mountain oil pipeline to the western Canadian coast. Citing provincial disputes, the pipeline company said it would wait until the end of the month before making final decisions on the fate of the project.

TransCanada had no comment on the NEB's decision on the natural gas pipeline.

Related Links
All About Oil and Gas News at OilGasDaily.com

Tweet

Thanks for being here; We need your help. The Space Media Network continues to grow but revenues have never been harder to maintain. With the rise of Ad Blockers, and Facebook - our traditional revenue sources via quality network advertising continues to decline. And unlike so many other news sites, we don't have a paywall - with those annoying usernames and passwords. Our news coverage takes time and effort to publish 365 days a year. If you find our news sites informative and useful then please consider becoming a regular supporter or for now make a one off contribution.
SpaceMediaNetwork Contributor $5 Billed Once credit card or paypal		SpaceMediaNetwork Monthly Supporter $5 Billed Monthly paypal only

Mixed sentiment on British offshore licensing round
Washington (UPI) May 23, 2018
The British government declared success in its latest offshore auction, but the devil may be in the details given the prospects for production declines. The British Oil and Gas Authority awarded 123 licenses to 61 different companies in its 30th offshore licensing round on Wednesday. The British continental shelf holds an estimated 1.5 billion barrels of oil equivalent in potentially commercial, but as yet undeveloped, reserves. The government said the latest licensing round could help u ... read more