LNG export projects

Increasing global LNG supplies has become of paramount importance given Europe’s decision to move away from pipelined imports of Russian natural gas. As such, any and all LNG export projects — from the expansion of existing sites to proposals for greenfield terminals — are getting a fresh look. As always, though, only the projects that make the most economic sense are likely to advance to a final investment decision (FID), construction and operation. Which raises the question, where do things stand with the handful of LNG export terminals proposed for Eastern Canada, which offers the shortest, most direct access to Europe? In today’s RBN blog, we conclude our series on Canada’s LNG export potential by assessing several greenfield export sites on its East Coast.

The European natural gas market has been in crisis this winter, with prices skyrocketing north of $100/MMBtu recently. Tight supplies, low storage levels, and a new gas-supply-security issue sparked by the war in Ukraine has many European nations, especially Germany, embarking on a crash course to increase supplies and diversify away from Russian gas imports. In this quest, increasing gas supplies in both the short- and long-term is a top priority and will require substantially more LNG capacity to replace — and eliminate the need for — Russian gas. With Europe’s gas-supply urgency on the rise, long-dormant prospects for exporting LNG from Canada’s East Coast are being re-examined. In today’s RBN blog, we look at the potential for repurposing the region’s only LNG import terminal into one that is geared toward exports.

Global LNG markets have been in overdrive this winter — it seems the world just can’t get enough of the super-cooled natural gas. Moreover, with long-term LNG demand growth in Asia appearing robust well into the next decade, the time would seem ripe to reconsider expanded export opportunities from Canada’s West Coast, one of the closest and potentially largest sources of LNG for Asian buyers. With one major LNG export project already under construction, at least one more awaiting the final go-ahead, and two more serious proposals having emerged last year, Canada’s outlook for additional LNG sales to Asia is clearly bright. In today’s RBN blog, we discuss recent developments regarding Canadian LNG projects.