LNG Canada has shipped its first cargo from Kitimat on the west coast of Canada, a milestone for Canada’s first large-scale LNG project, Shell announced on Monday.
The facility began production early last week.
Shell holds a 40% stake in the project, which will export LNG from two trains with a combined capacity of 14 million tonnes per annum. The facility is strategically located to supply Asian markets transitioning from coal, offering a lower-carbon alternative for electricity generation and support for renewables.
“LNG Canada grows our leading integrated gas portfolio, providing a reliable supply of LNG to markets, most notably in Asia,” Shell president of integrated gas Cederic Cremers said. “We expect that supplying LNG will be the biggest contribution Shell will make to the energy transition over the next decade, and projects like LNG Canada position our portfolio to achieve this.”
LNG Canada is a joint venture comprising Shell Canada Energy (40%), Petronas (25%), PetroChina (15%), Mitsubishi Corporation (15%) and Korea Gas Corporation (5%). It has generated over CAD 5.8 billion (USD 4.6 billion) in contracts and subcontracts in British Columbia and employed more than 50,000 Canadians. The project includes a future expansion option that would double capacity to 28 million tonnes per year.
Source: theenergyyear.com