Natural Gas Development Minister Rich Coleman meets with Japan Petroleum Exploration Company president Osamu Watanabe in Tokyo last week.

Japan wooed as B.C. LNG customer

Natural Gas Minister Rich Coleman tours Tokyo head offices after Japanese ambassador warns B.C. risks losing world's biggest customer

After a warning from Japan’s ambassador to Canada that the window is closing for the world’s largest customer of liquefied natural gas, Natural Gas Development Minister Rich Coleman has completed a sales trip to Tokyo.

Coleman met with Japanese government officials and major industrial players including Japan Petroleum Exploration Company Ltd. (JAPEX), a partner in the Pacific Northwest LNG project proposed for Prince Rupert.

Another stop was at Mitsubishi Corp., a partner in the LNG Canada project with Shell, PetroChina and Korea Gas with an export terminal proposed near Kitimat. Mitsubishi has also invested $2.9 billion in gas development in the Montney shale formation near Dawson Creek.

Japan’s official warning came after federal Environment Minister Catharine McKenna delayed by another three months a decision on its environmental permit for Pacific Northwest LNG’s terminal at Lelu Island. The permit is one of the last conditions specified by Malaysian state company Petronas and its partners, but the process has dragged on twice as long as the original one-year estimate.

“The global LNG market has changed drastically from a seller’s market to a buyers’, and competition among LNG suppliers is increasing,” Japanese Ambassador Kenjiro Monji said in a letter to the Canadian Environmental Assessment Agency.

“As LNG exports are usually based on long-term contracts, should Canada miss a window in demand for LNG, the next opportunity may be 10 or 20 years in the future.”

B.C. has 20 LNG export proposals, but slow approvals and protests have delayed the B.C. industry as the U.S. and other countries have moved ahead.

One vote of confidence came in late March, when Exxon Mobil applied to extend its LNG export licence from 25 to 40 years. Exxon Mobil and its Canadian subsidiary Imperial Oil have proposed an export facility based either at Kitimat or Prince Rupert.

 

Get local stories you won't find anywhere else right to your inbox.
Sign up here

Just Posted

VIDEO: Revelstoke rallies to save snared eagle

Local climber scales tree to save the raptor

Petition to protect Mt. Begbie goes to the province

Petition calls for no development on the mountain until new land use plans created for Revelstoke

Revelstoke Fire Rescue Services douses house fire Aug. 7

Investigators say probable cause was an unattended barbecue

UFO trackers set their sights on Revelstoke skies

Rob Freeman UFO World Explorer and crew went up Sale Mountain

Updated: Molotov cocktails thrown at Revelstoke home in arson attempt

The flames were extinguished before they spread. Two men have been arrested.

Teachers to get 2 extra days to prepare for students’ return, now set for Sept. 10

Students will first start with orientation and learn rules of COVID-19 classroom policies

Feds commit $305M in additional funds for Indigenous communities during COVID-19

Money can be used to battle food insecurity and support children and mental health

Floating concert to shake Shuswap Lake

Pair of bands booked to play floating concert at the Sea Store on Sept. 5

Hobo Cannabis renamed Dutch Love after backlash

Hobo Cannabis has various locations in Vancouver, Kelowna and Ottawa

Man accused of killing Red Deer doctor says he does not remember attack

Appearing before a judge, Deng Mabiour, 54, rambled about being sick and needing a doctor

New yoga studio takes over West Kelowna Hot Box Yoga space

Perfect Balance Yoga and Fitness opened on July 6

RCMP, BC Coroners Service investigate drowning in Penticton

Incident occurred on afternoon of Aug. 11, 2020

Syrian from Shuswap witnesses devastation in Lebanon

‘Three, four, five minutes later, smoke covered the whole area…’

Teen killer Kelly Ellard gets day parole extension, allowing up to 5 days at home

Ellard is serving a life sentence for the 1997 murder of 14-year-old Reena Virk

Most Read