Artist’s rendering of LNG Canada’s proposed plant and shipping terminal at Kitimat. (LNG Canada)

U.S., Japanese-based firms named as prime contractor for B.C. LNG plant

In March, B.C.’s government offered new conditions, tax incentives for liquefied natural gas projects

The international consortium behind plans for a liquefied natural gas terminal on British Columbia’s north coast has awarded the contract to design and build the proposed $40-billion project.

A news release from Texas-based Fluor Corp., says it and JGC Corp., based in Japan, have been approved as joint venture contractors for the engineering, procurement and construction of LNG Canada’s planned export facility in Kitimat.

The award of the estimated multibillion-dollar contract is conditional on a positive final investment decision from the project partners led by Shell Canada, along with Mitsubishi Corp., Kogas, and PetroChina.

A post on LNG Canada’s Facebook page says if the Kitimat terminal moves forward, Fluor and JGC would be responsible for directly hiring the majority of the thousands of skilled workers required during the five-year construction period.

Fluor says its team’s design and execution strategy improves the competitiveness and predictability of the Kitimat project and positions LNG Canada for a final investment decision.

The final decision was delayed indefinitely by the consortium in 2016 because of a skid in global LNG prices.

In addition to construction of the Kitimat terminal, LNG Canada is looking to TransCanada Corp. to build a proposed $4.7-billion Coastal GasLink pipeline to carry LNG from the gas fields of northeastern B.C. to the port for shipment overseas.

READ MORE: Kitimat is one step closer to securing LNG plant

READ MORE: Australian company Woodside ends Grassy Point LNG project

In March, B.C.’s New Democrat government offered new conditions and tax incentives for the province’s liquefied natural gas projects, including relief from provincial sales taxes, subject to repayment in the form of an equivalent operational payment.

LNG projects would also be subject to new greenhouse gas emission standards and would have to pay general industrial electricity rates consistent with other industrial users in B.C., but the framework would repeal an LNG income tax introduced under the B.C. Liberals.

The Canadian Press

Like us on Facebook and follow us on Twitter.

Just Posted

‘Police are ready’ for legal pot, say Canadian chiefs

But Canadians won’t see major policing changes as pot becomes legal

Cathy McLeod ready to run in Election 2019

“I have the passion, energy and support from my family to continue working hard for our region.”

Shuswap plane missing since 1987 discovered near Clearwater

A family finally has closure after a plane missing since 1987 was discovered in the Clearwater B.C.

Barriere’s mayor is not seeking re-election

Virginia Smith is preparing to retire from politics

Barriere Fire Department to hold open house for Fire Prevention Week

‘It’s open to everyone, it’s free to attend and, yeah, we always like to meet everyone there’

Naked man jumping into Toronto shark tank a ‘premeditated’ stunt: official

The man swam in a tank at Ripley’s Aquarium of Canada

Trump: Saudi king ‘firmly denies’ any role in Khashoggi mystery

Secretary of State Mike Pompeo is travelling to the Middle East to learn more about the fate of the Saudi national

Microsoft co-founder Paul Allen dies at 65

Allen died in Seattle from complications of non-Hodgkin’s lymphoma

Transport Canada to take new look at rules, research on school bus seatbelts

Canada doesn’t currently require seatbelts on school buses

Sockeye run in Shuswap expected to be close to 2014 numbers

Salute to the Sockeye on Adams River continues until Sunday, Oct. 21 at 4 p.m.

Michelle Mungall’s baby first in B.C. legislature chamber

B.C. energy minister praises support of staff, fellow MLAs

Canucks: Pettersson in concussion protocol, Beagle out with broken forearm

Head coach Travis Green called the hit ‘a dirty play’

$10,000 Local Give is back for a third year thanks to Interior Savings

Get ready for some warm fuzzies. Today on Thursday, Oct.18, Interior Savings… Continue reading

Most Read