BG has gained access to a site on Ridley Island to look at the feasibility of building a terminal there.
According to the agreement, each company would initially have a 50 per cent stake in the project, with Spectra responsible for the construction and operation, and BG to contract all the proposed capacity. The approximately 850 kilometre pipeline will be capable of transporting up to 4.2 billion cubic feet of natural gas per day. It will also connect with the Spectra Energy system southwest of Fort St. John.
Greg Ebel, President and Chief Executive Officer of Spectra Energy, says this project will help B.C. access new markets.
"We are ideally positioned to create further value for our investors by leveraging surplus B.C. natural gas supplies and facilitating its export to high-demand markets in Asia," he says. "This, in turn, will provide multiple opportunities for further investment in our gathering and processing facilities in the province."
It's expected the companies will spend the next several years refining the project route with stakeholder and Aboriginal engagement and going through the permitting process.