70 LEXPERT MAGAZINE
|
NOVEMBER/DECEMBER 2017
FEATURE
RAPID TECHNOLOGICAL ADVANCEMENTS
in natural gas extraction
from shale deposits have given the United States a new level of energy indepen-
dence. So, for Canadian companies in the exclusive business of selling hydrocar-
bons south of the border, the writing has been on the wall for some time — either
find a new buyer or find a new line of work.
To that end, a seemingly straightforward plan had been, until recently, coming
along. With the right approvals, Canadian producers could extract natural gas
from shale formations in Alberta and British Columbia, pipe it to liquefaction
facilities on the BC coast, and then ship it straight across the Pacific to Asia, where
demand is soaring, driven largely by emerging economies needing more fuel and
those converting from coal to cleaner fuels.
Qatar, Malaysia and Australia have jumped all over the burgeoning industry
to become the leading liquefied natural gas (LNG) exporters. e global market
for liquefied natural gas is "perhaps the fastest growing major energy market in
the world," according to Forbes. Canada is awash in it. We have far more than we
need, and supply has only grown as this country exploits the same technologies
that have allowed the US — historically Canada's largest importer — to entertain
thoughts of exporting.
In 2013, Canada had almost 20 projects both large and small in varying stages
of development, and British Columbia was predicting it would have five export
facilities running by 2020, making it a major-league exporter. Yet today Canada
Investors in Canada's fledgling LNG
industry have pulled out due to a host
of economic and regulatory issues.
With competition heating up, project
proponents say it's time for a rethink
BY SANDRA RUBIN
Courage
Liquefied
PHOTO:
REUTERS
