Canada’s Woodfibre LNG selects contractor for site work

Canada’s Woodfibre LNG, a unit of Pacific Energy, has hired a construction contractor with strong links to Squamish Nation to conduct work at the site of its 2.1 mtpa LNG terminal in British Columbia.

Under the contract, Canadian firm Graham Construction would conduct onshore work, which involves the final stages of cleaning up the previous pulp and paper mill at the Woodfibre site (Swíy’at), according to a statement.

In operation for nearly 100 years, the mill left behind significant infrastructure that needs to be assessed and decommissioned to ensure safety and environmental compliance.

Graham will manage clean-up, including the removal and recycling of old concrete, rebar, and rail ties.

A major undertaking of Graham’s activities would be closing the mill’s landfill, which would involve containing affected soil and groundwater and planting it over with vegetation, Woodfibre LNG said.

Woodfibre LNG’ said it expects the current phase of work to continue until late summer 2023.

At peak, the firm expects no more than 50 workers at the LNG plant site.

Woodfibre LNG did not provide the price tag of the contract.

“Woodfibre LNG is pleased to be advancing remediation work at our site,” said company president Christine Kennedy.

“We are following through on our commitment to prioritize local benefits and minimize impacts,” added Kennedy.

Woodfibre LNG launch planned for 2027

Woodfibre LNG’s project will have a production capacity of 2.1 mtpa as well as 250,000 cbm of floating storage capacity.

Earlier this year, Canadian pipeline operator Enbridge agreed to buy a 30 percent stake in the LNG export project.

Under the partnership agreement, Enbridge would invest in a 30 percent ownership stake in the C$5.1 billion Woodfibre LNG project, with Pacific Energy retaining the remaining 70 percent stake in the facility.

The project has two long-term offtake agreements with BP Gas Marketing for 15 years representing 70 percent of the capacity, with additional commitments in development for up to 90 percent, according to Woodfibre LNG.

In addition, Woodfibre LNG awarded a contract to Siemens Energy to work on the all-electric plant and also issued a notice to proceed to US contractor McDermott to start work on the project.

Woodfibre LNG has not yet announced a final investment decision on the plant.

It expects to reach substantial completion of the project in 2027 and begin commercial operation by September of that year.

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