Canada's Tilbury Phase 2 LNG Expansion Receives Federal and Provincial Environmental Approval

en.Wedoany.com Reported - The Government of Canada and the Province of British Columbia have separately approved the environmental assessment of FortisBC's Tilbury Phase 2 LNG Expansion Project, moving the project into the subsequent permitting stage. Canada's Minister of Environment and Climate Change issued a federal decision statement, determining that the project's potential adverse effects within federal jurisdiction are acceptable subject to binding conditions; British Columbia issued an environmental assessment certificate over the same period. FortisBC still needs to obtain subsequent construction and operation permits and will make a final investment decision after completing the relevant approvals.

Tilbury Phase 2 is located within the existing Tilbury LNG industrial site in Delta, British Columbia. It plans to build a new liquefaction facility with an annual capacity of approximately 2.5 million tonnes of LNG, a 142,400 cubic metre LNG storage tank, and natural gas receiving facilities. The new liquefaction equipment will have a maximum daily output of approximately 7,700 tonnes, with all construction contained within the existing plant site.

FortisBC estimates the project's construction capital expenditure at approximately CAD 3.1 billion, with a construction period of approximately 6 years. During construction, the project is expected to generate approximately 6,200 full-time equivalent person-years of employment, and add approximately 100 long-term positions once operational; during construction, it is expected to contribute approximately CAD 1.7 billion in GDP to British Columbia.

British Columbia's environmental assessment certificate sets out 18 legally binding conditions covering air quality, wildlife protection, greenhouse gas emission reductions, health and emergency planning, and ongoing monitoring of impacts on Indigenous peoples. The federal environmental assessment was completed by British Columbia under the Canada-British Columbia substituted assessment process, on the basis of which the federal government made its project decision.

The Tilbury LNG facility has been in operation since 1971, with the existing facility providing natural gas peak-shaving support for the Greater Vancouver area and supplying LNG to the transportation sector, marine fuel, and overseas markets. The Phase 1 expansion, which came into operation in 2018, added a 46,000 cubic metre storage tank. Upon completion of the Phase 2 project, Tilbury's liquefaction and storage capacity will be further expanded.

On September 22, FortisBC confirmed that the project has simultaneously obtained British Columbia's environmental assessment certificate and Canadian federal approval, and that the next stage will continue to advance planning and permitting procedures.