BG Group to Delay LNG Terminal in BC

BG Group PLC,  a British oil and gas producer, says it won’t be building its liquefied natural gas export terminal on British Columbia’s West Coast for at least a decade.

According to the Wall Street Journal:

The company’s planned project in British Columbia is one of 18 separate multibillion-dollar terminals proposed for shipping LNG from Canada to global markets, particularly in Asia. But none of those plants have been built yet amid concerns about construction and operational costs.

In a project description filed with Canadian regulators last year, BG Group said that it expected to begin construction in 2016 on the $11 billion first phase of a LNG plant in British Columbia and start commercial production by 2020. But the company has begun reassessing that timeline.

Madeline Whitaker, president of BG Canada, said:

We’d always said [construction would begin] as early as 2016, but we now recognize it’ll likely be later, with commercial operations likely beginning early in the next decade.

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