Woodfibre LNG, a subsidiary of Pacific Oil & Gas has selected US-based engineering firm KBR to provide Pre-Notice to Proceed (Pre-NTP) services for its $1.6bn worth liquefied natural gas (LNG) project in Canada.

The new LNG processing and export facility named as Woodfibre LNG project will be located in British Columbia province, in the District of Squamish near Vancouver. It holds a license to export around 2.1mtpa of LNG for 40 years.

The new LNG terminal would receive natural gas from the Eagle Mountain–Woodfibre Gas Pipeline (EGP) Project. 

KBR engineering & construction (E&C) Americas business president Farhan Mujib said: "We are pleased to continue our relationship with Woodfibre LNG as they progress towards becoming one of the first LNG exporters in Canada.

"The award of this work continues to reinforce KBR's position in British Columbia as well as our strategic commitment to developing fit-for-purpose LNG facilities for our customers."

KBR’s selection for Pre-NTP services comes after the completion of a competitive Front End Engineering Design (FEED) process for the project, announced in October 2016.

The American company will provide the services from its operating centers in Houston, Texas and Edmonton in Canada.

KBR will provide additional FEED work and cost optimization along with a proposal for an engineering, procurement and construction (EPC) contract. 

The EPC phase of the project is expected to commence in 2018.

Woodfibre LNG corporate affairs country manager and vice president Byng Giraud said: “The successful completion of FEED and now the selection of KBR to carryout Pre-NTP services are all important steps in moving the Woodfibre LNG Project forward.

“We look forward to reaching our next project development milestone – the awarding of an EPC contract in 2018.”

The Woodfibre LNG project is expected to bring economic growth to the nearby community of Squamish and the region with the creation of 100 full time jobs at the facility during operation, and nearly 650 jobs during peak construction phase.