Nova Scotia’s Bear Head LNG Sees Surge of Interest

For the past few years, MDN has tracked the progress of an LNG export plant planned for the eastern shore of Nova Scotia, the Bear Head LNG project (see our Bear Head LNG stories here). Of all the Canadian LNG export projects, Bear Head seems to have the most momentum. The project has received most of the necessary permits it needs to proceed. In fact, an official from the project says it is “shovel-ready” and can begin at any time. However, they aren’t ready to begin quite yet. The reason we track the project is because the most probable source of natural gas to feed the plant would come from the Marcellus Shale via the Maritimes & Northeast pipeline, converted to be bidirectional (see FERC Approves Atlantic Bridge Project for New England/Canada). However, the recent uptick in interest in Bear Head is not coming from the Marcellus, but because another LNG project on Canada’s West Coast was canceled last week. That has gas producers in Western Canada expressing interesting in piping their gas cross-country to the Bear Head project…
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Another Review Completed for Canadian Bear Head LNG Project

For some time we’ve tracked the progress of an LNG export plant planned for the eastern shore of Nova Scotia, the Bear Head LNG project. Of all the Canadian LNG export projects, Bear Head seems to have the most momentum. The project has received most of the necessary permits it needs to proceed. But it’s not been without its bumps along the way (see Bear Head LNG Export Plant: Bad News & Good News). Where will the gas come from to feed the plant? One source is likely to be Marcellus Shale coming via the Maritimes & Northeast pipeline, converted to be bidirectional (see FERC Approves Atlantic Bridge Project for New England/Canada). But LNG Limited, the builder of Bear Head LNG, is not putting all of its eggs in one basket. They don’t want to leave the fate of their plant to the flakes of New England who may end up blocking Spectra Energy’s efforts to move more Marcellus into the region. So LNG Limited is also working on a plan to bring western Canadian gas to Nova Scotia (see Canadian Bear Head LNG’s Long-Shot Plan to Get Gas). One more piece of the larger pie to build the plant just fell into place, earlier today. Transport Canada’s TERMPOL Review Committee has completed a review of the Bear Head project and issued a report. The TERMPOL report is a technical review of marine terminal systems and transshipment sites. Technical stuff, lots of recommendations. The bottom line is that Bear Head said they’ll do what’s in the report and the project continues to be very real and on track…
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Canadian Bear Head LNG’s Long-Shot Plan to Get Gas

For some time we’ve tracked the progress of an LNG export plant planned for the eastern shore of Nova Scotia, the Bear Head LNG project. Of all the Canadian LNG export projects, Bear Head seems to have the most momentum. The project has received most (if not all) of the necessary permits it needs to proceed. But it’s not been without its bumps along the way (see Bear Head LNG Export Plant: Bad News & Good News). It had appeared that Bear Head would export Marcellus Shale gas as LNG–using gas from Spectra Energy’s Access Northeast project that would expand and connect existing Spectra pipelines, connecting them to the Maritimes & Northeast pipeline all the way to Nova Scotia (see Spectra’s Access Northeast Pipe Wins Important Approval in Maine). However, Spectra has hit roadblocks with their project. So Bear Head is now proposing a new 1,000 mile pipeline to bring western Canadian natural gas to the East Coast…
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Bear Head LNG Export Plant: Bad News & Good News

Bear Paw Pipeline mapFor some time now we’ve been tracking progress with an LNG export plant planned for the eastern shore of Nova Scotia, the Bear Head LNG project. Of all the Canadian LNG export projects that will export Marcellus gas, Bear Head seems to have the most momentum. The project has received most (if not all) of the necessary permits it needs to proceed. The most recent regulatory hurdle was a greenhouse gas approval from Nova Scotia, issued in July (see Bear Head LNG Gets GHG Plan Approval from Nova Scotia). However, there are a few troubling signs. The already-small parent company, LNG Limited, laid off 13 workers in July (see Bear Head LNG Parent Lays off 13 People, “LNG…difficult market”). We have two updates for you. Another key player has left LNG Limited–the founder of the company. That’s the bad news. The good news is that a new 62.5 kilometer (~39 mile) pipeline has been approved to connect Bear Head LNG to the Maritimes and Northeast Pipeline–the pipeline that will carry Marcellus gas from south to north, once the pipeline reverses its flow. So today it’s a bad news/good news day for Bear Head…
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Bear Head LNG Parent Lays off 13 People, “LNG…difficult market”

LNG LimitedWe’ve previously reported on a number of LNG (liquefied natural gas) export projects planned for the eastern shore of Canada. There are four to five such projects, depending on how you count them. However, one of those projects–Bear Head LNG in Nova Scotia–seems to have the most momentum. It seems the project has received most (if not all) of the necessary permits it needs to proceed, the most recent one issued just last week (see Bear Head LNG Gets GHG Plan Approval from Nova Scotia). However, the parent company building Bear Head LNG, Liquefied Natural Gas Limited (headquartered in Australia), reports laying off a group of 13 high level executives in a bid to save money. With tens of thousands of people losing their jobs over the past few years, a company laying off 13 people seems pretty minor. But the way LNG Limited is presenting the news, and the way it’s being covered in the media, it makes us wonder about the financial stability of the company and indeed the future of the Bear Head LNG project. After all, if they fire 13 people to save what amounts to $3.15 million (A$4.2 million), and a project like Bear Head costs billions of dollars to build, oy vey!…
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Bear Head LNG Gets GHG Plan Approval from Nova Scotia

Games People PlayWe’ve previously reported on a number of LNG (liquefied natural gas) export projects planned for the eastern shore of Canada. There are four to five such projects, depending on how you count them. However, one of those projects–Bear Head LNG in Nova Scotia–seems to have the most momentum. Such projects needs loads of permits and approvals before the first shovel ever hits the dirt. It seems like Bear Head has most of its ducks in row, ready to begin. Importantly, both the U.S. (because the gas will come from the U.S.) and Canadian regulators have signed off on the project. But there are, as we are learning, still more permits and approvals needed. Bear Head just scored another important approval. The government of Nova Scotia has just granted Bear Head its approval of their Greenhouse Gas (GHG) Management Plan. Silly, we know. Adults with brains have to pretend that leaking CO2 or methane into the atmosphere is somehow endangering Mother Earth. But these are the games that people play in order to get business done. The Bear Head LNG project is important for the Marcellus/Utica because our gas will feed it via the Maritimes & Northeast Pipeline, making it an important new market for northeast natgas…
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Canada Grants Final Approval for Bear Head LNG Facility

stamp-of-approval.jpgFor some time now we’ve had our eye on Bear Head LNG, a $2.2 billion LNG export project proposed by Australian company Liquefied Natural Gas Limited (LNGL), to be built in Nova Scotia, Canada. In August 2015 the Canadian National Energy Board (NEB) approved LNG exports for the project. In February of this year the U.S. Dept. of Energy also gave its blessing, because the gas it will export will largely come from the Marcellus/Utica region (see Bear Head LNG Exports Get Final DOE Approval – Good for Marcellus). Although the NEB approved the project last summer, that approval was subject to a further approval by the “Governor in Council”–some sort of final bureaucratic signature required. LNGL announced earlier today that they have received the Governor in Council signoff. The Bear Head LNG project is now fully, officially, approved by the Canadian government. The question remains, will it get built?…
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LNGL Applies to Build Pipeline to Bear Head LNG Export Facility

Yesterday MDN told you that Bear Head LNG in Nova Scotia, Canada continues to make progress toward opening an LNG export facility that will export U.S. Marcellus and Utica Shale gas (see Bear Head LNG Facility Buys More Land, Opens Halifax Office). The very next day (today!) the parent company of Bear Head, LNG Limited (from Australia) issued another announcement to say they’ve registered for an environmental assessment for a pipeline they want to build–the Bear Paw Pipeline. It is the first (and perhaps most important) step in getting a new 39-mile pipeline built that will run from the Maritimes & Northeast Pipeline to the new Bear Head LNG facility. Yes it’s a story about Canada, but it’s mostly a story about the Marcellus and Utica…
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Bear Head LNG Facility Buys More Land, Opens Halifax Office

A Canadian liquefied natural gas (LNG) export facility planned for Nova Scotia received final authorization from the U.S. Dept. of Energy (DOE) to export LNG to countries that do not have free trade agreements with the United States (see Bear Head LNG Exports Get Final DOE Approval – Good for Marcellus. Bear Head LNG, a $2.2 billion project proposed by Australian company Liquefied Natural Gas Limited (LNGL) received Canadian approval a year ago (see Canada’s 1st LNG Export Facility Gets Green Light; Marcellus Gas?). The project then received DOE approval to export to free trade agreement countries in July of 2015 (see 2nd Canadian LNG Plant Gets U.S. Approval to Export Marcellus Gas). This project is keeping its foot on the pedal. LNGL announced today they’ve purchased more land surrounding the site where they plan to build. Companies don’t sink this kind of money into projects they are not serious about. Here’s the latest on Bear Head LNG…
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East Coast LNG Export Updates – Bear Head & Downeast

LNG is increasingly seen as vitally important to America’s natural gas industry. LNG, by which we mean liquefied natural gas (it gets liquefied by a process known as liquefaction), can be exported to other countries, providing an important new market for American natural gas. The way it gets shipped abroad is through an LNG export facility. In February the very first LNG export cargo left from Cheniere Energy’s Sabine Pass facility in southwest Louisiana (see Cheniere Finally Ships First Sabine Pass LNG Export – to Brazil). Some of the gas could have been (and likely will be in the future) from the Marcellus/Utica–piped to the Gulf Coast. But what about closer to home? The Cove Point LNG export facility is now 24% complete (see today’s companion story). However, there are other plants north of the Marcellus/Utica that can play a role. Some five LNG plants are planned for Canada’s East Coast area. There’s also a new project planned for the state of Maine. We have quick updates for one of the Canadian projects, and the project in Maine…
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Bear Head LNG Exports Get Final DOE Approval – Good for Marcellus

A Canadian liquefied natural gas (LNG) export facility planned for Nova Scotia received final authorization from the U.S. Dept. of Energy (DOE) to export LNG to countries that do not have free trade agreements with the United States. Bear Head LNG, a $2.2 billion project proposed by Australian company Liquefied Natural Gas Limited (LNGL) received Canadian approval a year ago (see Canada’s 1st LNG Export Facility Gets Green Light; Marcellus Gas?). The project then received DOE approval to export to free trade agreement countries in July of 2015 (see 2nd Canadian LNG Plant Gets U.S. Approval to Export Marcellus Gas). Now the project is approved for non-free trade agreement countries. However, as we said in July, there are still important hurdles to jump before the project gets built: (1) the Maritimes & Northeast pipeline has to get FERC permission to reverse its flow, which will send Marcellus and Utica gas northward; (2) the gas has to get to the Maritimes & Northeast pipeline in the first place via new pipelines from either Kinder Morgan or Spectra Energy (currently a battle royale); and (3) the price of oil has to rise to make the whole thing economical, since LNG is so closely tied to the price of oil. We don’t see that happening until later this year, at the earliest. Here’s the exciting announcement that regulation-wise the project is cleared for take-off…
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Energy Stories of Interest: Mon, Jul 22, 2019

MARCELLUS/UTICA REGION: Workforce development in Susquehanna County takes place on its own; NATIONAL: Schlumberger Appoints Olivier Le Peuch as CEO; U.S. natural gas prices sinking again; INTERNATIONAL: LNG Limited move business to USA; So you think we’re reducing fossil fuel? — think again.
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Energy Stories of Interest: Mon, Jun 24, 2019

Mars Rover finds methane on Mars

MARCELLUS/UTICA REGION: Hundreds rally at PA Capitol for passage of bipartisan, 100% renewable energy legislation; MAWC spent more than $100,000 for tests following Beaver Run Reservoir gas well breach; Take notice DRBC: “Sue me” approach to the takings clause is untenable; Why New York can’t possibly switch everyone to electric cars; OTHER U.S. REGIONS: LNG Limited updates Magnolia LNG contract validity; California’s oil hypocrisy presents a national security risk; NATIONAL: Energy products are key inputs to global chemicals industry; More new natural gas combined-cycle power plants are using advanced designs; Trump administration replaces CPP with pro-coal affordable Clean Energy Rule; U.S. natural gas prices have collapsed; The Supreme Court’s Fifth Amendment reclamation; INTERNATIONAL: The U.S. accounted for 98% of global oil production growth in 2018; GALACTIC: Global warming…on Mars?!
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Nova Scotia Indians Shake Down a 2nd LNG Export Project

Earlier this month MDN brought you the news that one of two active LNG export projects in Nova Scotia had agreed to pay (off) an undisclosed amount of money to the The Mi’kmaq (pronounced mic-mac) indigenous peoples of Nova Scotia (i.e. Indians), a payment of which means the Indians will leave them alone so they can build their facility and not face endless lawsuits (see Pieridae Energy Pays Off Nova Scotia Indians to Allow LNG Plant). It’s just happened again.
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US & Canada Become LNG Export “Powerhouse” – List of Projects

LNG (liquefied natural gas) is increasingly a critical part of the natural gas picture here in the U.S.–and in the Marcellus/Utica–as in exports of LNG. This year Dominion Energy’s Cove Point LNG export terminal in Maryland came online, and early next year Kinder Morgan’s Elba Island LNG export facility along the coast of Georgia is due to go online. Not only that, we now see a trend of setting up smaller LNG facilities inland, not situated along the coast, in places like northeastern Pennsylvania (see Big News! Marcellus LNG Export Plant Coming to Landlocked NEPA). But LNG export facilities don’t have to be located along the East Coast. Some of our Marcellus/Utica molecules are getting exported from places like Cheniere’s Sabine Pass facility in Louisiana. We spotted an excellent article that summarizes which LNG export operations in both the U.S. and in Canada are likely to go online by 2020, and which are still years away from getting built.
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Nova Scotia LNG Export Project Signs Agreement with Labor Unions

MDN has tracked the progress of an LNG export plant planned for the eastern shore of Nova Scotia, called Bear Head LNG, for the past several years (see our Bear Head LNG stories here). Of all the Canadian LNG export projects, Bear Head appears to have the most momentum. The project has received most of the necessary permits it needs to proceed. An official from the project says it is “shovel-ready” and can begin at any time. However, they aren’t ready to begin just yet. The reason we track the project is because the most probable source of natural gas to feed the plant would come from the Marcellus Shale via the Maritimes & Northeast pipeline, converted to be bidirectional (see FERC Approves Atlantic Bridge Project for New England/Canada). For the first time in nearly a year, we have some new news to report on Bear Head. LNG Limited, the company behind Bear Head, announced this morning it has signed a Memorandum of Agreement (MOA) with two labor union groups to supply skilled workers to build the plant–when it gets built. While a timeline is not given, the announcement says Bear Head will need “several hundred workers” over “the next several years” to build the facility. Which we take as a positive sign that this project is close to starting…
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