Northern B.C. gas pipeline designed to supply LNG industry wins NEB approval

CALGARY — The National Energy Board has approved construction of a natural gas pipeline originally intended to supply the Pacific NorthWest LNG export terminal near Port Edward, B.C., even though that $36-billion project was cancelled last July.

The NEB says it will grant an amendment to Nova Gas Transmission Ltd., a subsidiary of Calgary-based TransCanada Corp., to remove the requirement that its construction be preceded by a positive investment decision on the liquefied natural gas export terminal on B.C.’s coast.

The approval allows TransCanada to construct the majority of its North Montney Mainline project at a cost of about $1.4 billion, allowing it to bring gas from northern B.C. through 300 kilometres of pipeline to connect with existing pipe about 35 kilometres southwest of Fort St. John, B.C.

It has proposed beginning construction this year and bringing it into service, with the gas flowing east instead of west, over a two-year period.

In hearings, several producers and pipeline companies argued that the new pipeline shouldn’t be approved because it will add natural gas to a western Canadian marketplace already swimming in it, further depressing prices at the marketing hub in Alberta.

Nova responded in an NEB filing that the need for the line is demonstrated by its 20-year contracts with 11 North Montney customers for a total of 1.485 billion cubic feet per day.

One of the clients is Progress Energy Canada Ltd., the exploration and production arm of Malaysia’s Petronas Bhd., the main proponent of the Pacific NorthWest LNG project.

Petronas bought Progress Energy in 2012 and it has been one of the most active drillers in northeastern B.C. in recent years.

The NEB says the current Nova tolling method is not appropriate and directed provisional measures until a new methodology is developed and approved.

Just Posted

Springbrook Skate Park gets financial boost

Province approves $125,000 grant for proposed skate park

ReThink Red Deer gets thumbs up from city on pollinator barn structure

Group is hoping to get a $40,000 building grant

Driver who backed into Red Deer pizzeria sentenced

David Andrew Amstutz sentenced for failing to remain at the crash scene

Team Alberta athletes arrive in Red Deer on Saturday for pre-games orientation

Excitement is building with less than a month to go, says Team Alberta spokesperson

UPDATED: STARS Lottery is back

Lacombe STARS patient tells his story

Trudeau says politicians shouldn’t prey on Canadians’ fears

The Prime Minister was speaking at a townhall in Ontario

Olympian snowboarder Max Parrot diagnosed with Hodgkin’s lymphoma

Each year in Canada, approximately 900 people are diagnosed with Hodgkin’s lymphoma

‘Prince of Pot’ Marc Emery accused of sexual assault, harassment

Emery denied the allegations, but a Toronto woman says she is not the only one speaking out

Asteroids are smacking Earth twice as often as before

The team counted 29 craters that were no older than 290 million years

Canada’s arrest of Huawei exec an act of ‘backstabbing,’ Chinese ambassador says

China has called Canada’s arrest of Huawei chief financial officer Meng Wanzhou ‘politically motivated’

In limbo: Leftover embryos challenge clinics, couples

Some are outright abandoned by people who quit paying storage fees and other couples struggle with tough decisions

Netflix rejects request to remove Lac-Megantic images from ‘Bird Box’

At least two shows on Netflix’s Canadian platform briefly use actual footage of the 2013 tragedy

Teen vaping is an epidemic: US government

E-cigarettes are now the top high-risk substance used by teenagers, outpacing cigarettes, alcohol, marijuana

‘I never said there was no collusion,’ Trump lawyer says

President Donald Trump’s lawyer Rudy Giuliani says he has ‘never said there was no collusion’

Most Read