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Peace Region mayors meet in Ottawa to discuss LNG with Feds

Mayors Lori Ackerman and Dale Bumstead joined onstage at the BC Natural Resources Forum by those in attendance asking the provincial and federal governments to support an LNG industry in B.C. Photo by @marksalkeldsr/Twitter
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OTTAWA, ON – The Peace Region was well represented in Ottawa last week by five local mayors.

The Mayors of Fort St. John, Dawson Creek, Pouce Coupe, Taylor and Tumbler Ridge had scheduled meetings last week in Ottawa to discuss the importance and value of an LNG export industry in each community. The five local majors were also joined by the mayors of Kitimat and Terrace.

Dawson Creek Mayor Dale Bumstead said the meetings went extremely well. The Mayors meet with a variety of officials including the Natural Resources Minister Jim Carr, Innovation, Science and Economic Development Minister Navdeep Bains, and Finance Minister Bill Morneau.

The Mayors focused on driving home the message of how vital the LNG export industry is to the northern communities, BC and Canada as a whole. It is estimated that the proposed LNG Canada facility in Kitimat will produce seven billion annually in GDP. As well, the project would create and sustain sixty-five thousand jobs per year and would provide six billion in taxes to the federal government annually.

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As well, the Mayors lobbied to have to the tariff regarding fabricated industrial steel components by-passed for the construction of the LNG project. The tariff was created to reduce an influx of cheap fabricated steel produces created by the Asian Market and protect the Canadian producers.

Ultimately, a mass amount of large fabricated industrial steel components must be purchased and installed to make the LNG modules. Without the relief of the tariff, the cost of the project will increase by upwards of five hundred million dollars.

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Bumstead said he was hopeful leaving the meetings. “All of the meetings went very well and we faced support from all members of the government. They all realised how important LNG Canada’s investment actually is and what positive things it could do for the communities it affects and the country as a whole.”

A final investment decision is expected in the fall by the four partners of LNG Canada; Shell, PetroChina, Mitsubishi Corporation, and Kogas.

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