Goldboro LNG Export Plant on the Hunt for Marcellus Assets

Just last week MDN told you that Pieridae Energy has signed a labor agreement to build the Goldboro LNG export facility along the shore of Nova Scotia, Canada (see Update on Goldboro LNG – Labor Agreement Signed to Build). The U.S. Dept. of Energy approved the plant for exporting to non-free trade agreement counties in February 2016, an indication that Marcellus/Utica gas will flow to the plant (see Goldboro LNG Project Gets Final DOE Approval – Good for Marcellus). As we’ve previously pointed out, gas to feed this new export facility will likely come from the Marcellus/Utica via the Maritimes & Northeast Pipeline. However, Goldboro can also get gas from TransCanada’s pipeline system–sourced from Western Canada. A Reuters story provides new details about Pieridae Energy’s plans for the project. Pieridae CEO Alfred Sorensen told Reuters the company is not just looking to buy gas on the open market, but looking to buy a driller or assets (leased acreage someone else is drilling on), to feed the plant. Pieridae is looking at both Western Canada AND in the Marcellus. The other tidbit we glean from the story is that the plant will cost on the order of $7.3 billion to build–the first time we’ve seen a number associated with the project…

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