ARCHIVED - NEB Approves Aurora LNG and Oregon LNG Export Licenses

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For immediate release
1 May 2014

NEB Approves Aurora LNG and Oregon LNG Export Licenses

CALGARY - The National Energy Board (NEB or Board) today approved two applications for 25 year natural gas export licences.

A licence was approved for Aurora Liquefied Natural Gas Ltd. (Aurora LNG) to export liquefied natural gas (LNG), for a maximum term amount of 849.82 109m³. The export point would be in the vicinity of Prince Rupert, British Columbia at the outlet of the loading arm of a proposed liquefaction terminal.

A licence was also approved for Oregon LNG Marketing Company, LLC (Oregon LNG) to export natural gas  for a maximum term amount of 375.17 109m³. The export point would be in the vicinity of Kingsgate and Huntingdon, British Columbia via existing natural gas pipelines.

Issuance of both licences is subject to the approval of the Governor in Council.

Recent developments in gas production technology have resulted in a significant increase in the Canadian gas resource base and North American gas supply. One of the major impacts of this increase is lower demand for Canadian gas in traditional gas markets in the United States and eastern Canada.  As a result, the Canadian gas industry is seeking to access overseas gas markets.

When evaluating natural gas and LNG export licence applications, the Board considers if the quantity of gas proposed to be exported is surplus to Canadian requirements, taking into account trends in the discovery of gas in Canada. Each application is assessed on its own merits. The Board determined that the quantity of gas proposed to be exported is surplus to Canadian requirements. The Board is satisfied that the gas resource base in Canada, as well as North America, is large and can accommodate reasonably foreseeable Canadian demand, these export applications, and a potential increase in demand. The Canadian natural gas market will continue to respond appropriately to changes in supply and demand.

The Board continuously monitors the Canadian and North American natural gas market.  The Board has technical expertise in gas market supply and demand fundamentals and geological resource assessment. Natural gas market assessments, including long-term and short-term reports, are available on the Board’s website. For a full list, please see Energy Reports - Natural Gas.

The National Energy Board is an independent federal regulator of several parts of Canada's energy industry with the safety of Canadians and protection of the environment as its top priority. Its purpose is to regulate pipelines, energy development and trade in the Canadian public interest. For more information on the NEB and its mandate, please visit www.neb-one.gc.ca.

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For further information:

Whitney Punchak
Communications Officer

National Energy Board
E-mail: whitney.punchak@neb-one.gc.ca
Telephone: 403-299-3122
Telephone (toll free): 1-800-899-1265
Facsimile: 403-292-5503
Facsimile (toll free): 1-877-288-8803
TTY (Teletype): 1-800-632-1663

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