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Tecnicas Reunidas announced the contract award to its unit, TR Canada E&C, in a statement on Thursday.
The FEED work will support planning for a potential Phase 2, including additional compression facilities for the Coastal GasLink pipeline, which is owned and operated by TC Energy and its partners.
LNG terminal operator LNG Canada is working with Coastal GasLink under an integrated commercial model to advance Phase 2 planning.
If approved, Phase 2 would double the pipeline’s natural gas capacity using the existing infrastructure.
Tecnicas Reunidas noted that the now-complete pipeline was always envisioned to potentially deliver up to 5 billion cubic feet per day (bcf/d) of natural gas, an increase from the current 2.1 bcf/d.
Phase 2 will include the construction and operation of five additional compressor stations with compression turbines of 30 MW, as well as modifications to both existing and planned facilities at various points along the pipeline route.
The scope awarded to Tecnicas Reunidas includes the initial engineering and project design, along with the assessment of the potential project costs and scope for the facilities work.
These activities will support the technical analysis as LNG Canada continues to explore pathways to a potential final investment decision (FID), it said.
The award of this contract follows the work previously performed by Tecnicas Reunidas in an earlier project phase, where the company provided consulting and engineering services.
Tecnicas Reunidas did not provide the contract pricing details.
28 mtpa
LNG Canada recently shipped the 50th cargo of LNG from the two-train plant in Kitimat, which has a capacity of 14 mtpa.
With a proposed Phase 2 expansion, Shell and its partners plan to double the terminal’s capacity to 28 mtpa.
At 40 percent, Shell has the largest working interest in the LNG Canada JV.
MidOcean Energy, the LNG unit of US-based energy investor EIG, completed its deal to buy a 20 percent interest in Petronas’ entities in Canada, including a stake in the LNG Canada project, in December last year.
Besides Petronas and MidOocean, other partners include PetroChina, Mitsubishi Corporation, and Kogas.
