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Written by Daniel Graeber for IIR News Intelligence (Sugar Land Texas)
Summary
The Cedar LNG facility slated for British Columbia moved one step closer to completion with support for its floating liquefaction unit. Powered by renewables, the facility will be one of the cleanest of its kind in the world.EXMAR Tapped for FLNG
Belgian shipping company EXMAR said it was selected by the developers of the Cedar LNG facility in Canada to advance work on the necessary floating liquefaction unit.Dubbed Megúgu, an aboriginal word for "spirit of the tree," EXMAR said Monday it was selected by the project partners to provide its marine and operational expertise for the floating liquefied natural gas (FLNG) facility.
"Our unique track record for safe and reliable operations has been thoroughly valued by Cedar," said Carl-Antoine Saverys, EXMAR's chief executive officer. "We are confident this partnership will create a strong base for future FLNG operations."
Joint venture partners Pembina Pipeline and the indigenous Haisla Nation announced the final investment decision (FID) on the Cedar LNG project in 2024. The facility will consist of an FLNG facility in Kitimat, British Columbia, with a nameplate capacity of about 3.3 million metric tons per annum (MTPA).
Subscribers to Industrial Info's Global Market Intelligence (GMI) Oil & Gas Production Project Database can learn more by viewing the project report.
Various interconnections will tie into the Coastal Gaslink pipeline network, which will deliver gas to the Cedar LNG facility. The FLNG, meanwhile, will be powered by renewable energy, which will make it one of the cleanest LNG export facilities in the world.
In December, Calgary-based natural gas producer Ovintiv signed a 12-year supply agreement to deliver a half-million tons of gas in the liquid form per year to Pembina Pipeline, which will deliver it to the proposed Cedar LNG facility. Ovintiv is a subsidiary of Pembina.
If progress continues as expected, Cedar LNG could be in service by late 2028.
Canada Gearing up for More LNG
Canada is the fifth-largest natural gas producer in the world, churning out close to 20 billion cubic feet per day (Bcf/d). It's also a net gas exporter to the United States, which is still its largest trading partner despite the precipitous downturn in bilateral relations.U.S. President Donald Trump turned his ire on Canada during a salvo of tariff announcements last year, suggesting the nation become part of the United States. Members of his administration have since courted separatists in Alberta, and Trump claimed recently he would thwart the opening of the new Canadian-built bridge from Detroit unless Canada turns over half of the ownership.
Canadians in response to Trump's ongoing condemnations have boycotted U.S. travel and U.S. goods. Canadian Prime Minister Mark Carney, for his part, has embraced a handful of nation-building projects, including LNG, that would help halve the amount of U.S. trade over the coming years.
Canada already has the lead in terms of delivering LNG from the western shores of North America, where delivery routes to energy-hungry Asia are shorter. The LNG Canada facility in British Columbia sent out its debut cargo last year, and construction on the Woodfibre LNG complex is around 60% completed.
British Columbia Premier David Eby said in a recent interview with the Reuters news agency that there are at least six other LNG facilities that are "either online, coming online or reaching final investment decision in the next year."
Canada remains a net exporter of natural gas to the U.S. economy. In its NATGAS Today report for Tuesday, IIR Energy found Canada has delivered around 5.5 billion cubic feet per day (Bcf/d) of natural gas to the U.S. economy so far this week, down slightly from January levels that were propped up by severe winter weather.
By the Numbers
- 3.3 MTPA from Cedar LNG
- 12-year supply agreement for natural gas in the books
- 5.5 Bcf/d in Canadian gas deliveries to U.S. economy
- Canada's LNG sector taking off.
- LNG supports trade diversification efforts.
- Provincial leaders say more is on the way.
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About Industrial Info Resources
Industrial Info Resources (IIR) is the leading provider of industrial market intelligence. Since 1983, IIR has provided comprehensive research, news and analysis on the industrial process, manufacturing and energy related industries. IIR's Global Market Intelligence (GMI) helps companies identify and pursue trends across multiple markets with access to real, qualified and validated plant and project opportunities. Across the world, IIR is tracking over 250,000 current and future projects worth $30.2 Trillion (USD).
About Industrial Info Resources
Industrial Info Resources (IIR) is the leading provider of industrial market intelligence. Since 1983, IIR has provided comprehensive research, news and analysis on the industrial process, manufacturing and energy related industries. IIR's Global Market Intelligence (GMI) helps companies identify and pursue trends across multiple markets with access to real, qualified and validated plant and project opportunities. Across the world, IIR is tracking over 200,000 current and future projects worth $17.8 trillion (USD).
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