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

VicPD find used, uncapped needle tied to handrail in Beacon Hill Park

Officers believe the needle was put there with the intent to harm someone

PHOTOS: Kids, parents cool off at Langford splash park

Centennial Park is home to a popular water feature

Saanich landfill gets used oil and antifreeze dropoff centre upgrades

BC Used Oil Management Association oversees upgrades, two new facilities in province

Saanich woman completes 10 marathons, raises double her initial goal amount

Over $20,000 raised for Victoria Hospitals Foundation

Colwood man to ride 400 kilometres to fight kids cancer

Man riding for a beloved family member who died from leukemia at 13-years-old

VIDEO: Otter pups learn to swim at B.C. wildlife rescue facility

Watch Critter Care’s Nathan Wagstaffe help seven young otters go for their first dip

Rollout of COVID-19 Alert app faces criticism over accessibility

App requires users to have Apple or Android phones made in the last five years, and a relatively new operating system

Alleged impaired driver sparks small wildfire near Lytton after crash: B.C. RCMP

Good Samaritans prevented the blaze from getting out of control

B.C. First Nation adopts ‘digital twinning’ software to better manage territory

Software allows users to visualize what a mountain might look like if the trees on its slopes were logged

Woman arrested near Nanaimo beach after alleged road rage incidents

37-year-old woman facing charges including assault, assaulting a police officer, impaired driving

All inquiry recommendations implemented after fatal Port Hardy RCMP shooting: Ministry

The Independent Investigations Office of B.C. cleared the RCMP officers involved of wrongdoing

Leave your deets when dining: Restaurants taking personal info to trace COVID-19

Health officials say indoor dining presents a higher risk

Raptors kneel for both American and Canadian anthems ahead of tipoff

Majority of players have substituted their names on the backs of their jerseys with racial and social justice messages

Most Read