Liquefied natural gas (LNG) is greener than any other fossil fuel and more affordable than many renewables, which means it will play a significant role as we transition to a clean energy future. Canada is the world's fifth-largest producer of natural gas, and creating the conditions to open access to global markets will help to create good, middle-class jobs for Canadians.
Today, while speaking at the Canadian Embassy in China, the Honourable Jim Carr, Canada's Minister of Natural Resources, announced that the Government of Canada has approved a 40-year natural gas export licence to Woodfibre LNG Limited for its proposed facility in Squamish, British Columbia.
The Government's approval of this licence will help Canada achieve international market access for its natural gas by providing certainty to investors on their long-term access to natural gas while strengthening investment and planning decisions in the industry.
The National Energy Board (NEB), which regulates the import and export of natural gas, approved Woodfibre's application on April 6, 2017. The Government reviewed and supported the NEB's recommendations.
Jim Carr, Canada's Minister of Natural Resources said: "We know there is tremendous demand for natural gas, especially in the fast-growing countries of Asia. The approval of Woodfibre LNG's 40-year export licence provides certainty for investors while creating jobs for Canadians as the world moves toward a low-carbon future. This project also underscores the significance of working together with First Nations communities, as it will lead to environmental protection and economic benefits for the Province of British Columbia and the Squamish Region."
Canada has about 300 years' worth of marketable natural gas reserves, estimated at 1,566 trillion cubic feet, or 44 trillion cubic metres, which puts it in the top tier globally.
To date, the Government of Canada has issued LNG export licences to 24 projects.
In October 2015, the Squamish Nation Council voted to approve an Environmental Assessment Agreement for the Woodfibre LNG project and issued an Environmental Certificate to the company.
The Woodfibre LNG project will create about 100 full-time jobs at the facility during operation and about 650 jobs each year during an estimated two-year construction period.