Fluor-JCG joint venture secures EPC contract for LNG Canada’s export facility in Kitimat

A joint venture between Fluor and JGC has been awarded engineering, procurement and construction contract for LNG Canada’s proposed liquefied natural gas (LNG) export facility in Kitimat, British Columbia, Canada.

The contract, however, is subject to positive final investment decision to be made by LNG Canada’s joint venture partners later this year.

The proposed LNG export facility will initially comprise two LNG processing units, each with the capacity to produce at least 6.5 million tons per annum (mtpa) of LNG annually. The project will have an option to expand to four units/trains in the future.

LNG Canada said in a statement: “The joint venture of JGC and Fluor has significant experience in Canada, combined with extensive LNG and mega project experience.”

The proposed facility will be equipped to liquefy surplus Canadian natural gas. The resulting product will be exported to help meet global energy demands.

Under the contract, JGC and Fluor will hire a majority of the thousands of workers required during the five-year construction phase of the export facility.

Fluor Energy & Chemicals business group president Jim Brittain said: “We thank LNG Canada for the opportunity to participate in developing the first world-class LNG facility in British Columbia.

“Our team has developed an innovative design and execution strategy that improves the project’s competitiveness and predictability and positions it for a final investment decision.”

LNG Canada joint venture partners include Shell Canada Energy with 50% stake, and affiliates of PetroChina with 20% interest, Korea Gas with 15% stake and Mitsubishi holding 15%.

Fluor has earlier delivered engineering, procurement, fabrication and construction services to Canada’s oil, gas, petrochemical, mining, power and infrastructure projects.

LNG Canada said: “The joint venture of JGC and Fluor has significant experience in Canada, combined with extensive LNG and mega project experience.

“Fluor has nearly 70 years of Canadian project experience with over 7,500 construction personnel working on Canadian projects in 2017, while JGC has experience in construction of more than 48 LNG trains globally.”