With all the talk of BC’s various proposed LNG export projects, it would be easy to miss the one that’s rapidly advancing towards construction south of the border. On Monday, the U.S. Department of Energy granted conditional approval for the Jordan Cove LNG project in Oregon. That’s on the heels of a DOE authorization granting the project the right to export up to nine million tonnes (1.55 billion cubic feet per day) annually to countries that the U.S. has free trade agreements with. The last hurdle the project has to overcome is certification by the Federal Energy Regulatory Commission.
As AltaCorp capital writes in a note, “another green light for the Jordan Cove project is a positive for Canadian natural gas producers (TOU, ECA, PEY, BNP, BXE) who have witnessed reduced southbound volumes through Kingsgate when the Ruby Pipeline became operational in 2011, moving stranded Rocky Mountains natural gas into the sometimes lucrative California market and squeezing down Canadian Producer volumes. As the Jordan Cove LNG project (owned by Veresen) makes further steps forward, British Columbia will likely come under further pressure to solidify commercial terms for LNG exports.
Meanwhile, shareholders of another natural gas producer received a vote of confidence from the company’s CEO. Painted Pony Petroleum (TSE:PPY) CEO Patrick Ward bought more than $670,000 worth of shares (80,000 common shares in the public market at a price of $8.41) on March 21.
Advertisement
The post The other LNG play appeared first on Alberta Venture.