New Gas Pipeline Proposed for B.C., Work to Begin this Month
A new multibillion-dollar natural gas pipeline project is in the works for British Columbia, even as another massive energy project remains under construction.
The Prince Rupert Gas Transmission (PRGT) pipeline and its associated Ksi Lisims liquefied natural gas (LNG) project are being proposed for the province’s north coast, similar in scale to the Coastal GasLink pipeline and LNG Canada facility in Kitimat.
Ksi Lisims, a floating LNG plant with an estimated $9.4 billion price tag, would produce 12 million tons of LNG annually. It is currently undergoing environmental assessment and does not yet have a permit.
The PRGT pipeline, which would supply gas to Ksi Lisims, received an environmental certificate in 2014 but is now seeking amendments. Work on the portion crossing Nisga’a First Nation treaty lands is set to begin on August 24, 2024.
A significant route change at the pipeline’s western end has prompted a new environmental assessment with a public comment period ending Aug. 31.
Like the Coastal GasLink and Trans Mountain pipelines, the PRGT is expected to face challenges, including cost overruns, political disputes, legal battles, and environmental and Indigenous opposition.
The project is a joint venture between the Nisga’a First Nation and Texas-based Western LNG. While the Nisga’a are partners, the project could still face opposition similar to Coastal GasLink.
“I think just like every other project in B.C. now, it’s all going to come down to whether or not they can get the provincial government to address Aboriginal issues,” said Ellis Ross, a member of the British Columbia United party and former Haisla First Nation chief.
The Gitanyow First Nation, which signed a project agreement in 2015, has already expressed concerns about the pipeline.
Karen Ogen, CEO of the First Nations LNG Alliance and former Wet’suwet’en First Nation chief, said her group plans to study the Coastal GasLink project to identify successes and failures for future projects. She also highlighted economic benefits for First Nations that signed agreements with Coastal GasLink.
The PRGT was originally tied to the Petronas-led Pacific Northwest LNG project, but that venture was abandoned in 2017. The pipeline was recently revived to supply gas to Ksi Lisims, which will be located on Nisga’a land.
Western LNG has selected Bechtel to build the pipeline, leveraging its experience with similar projects worldwide.
To meet deadlines, early work on the pipeline will begin this month, including clearing land and building a work camp on Nisga’a territory. The project is expected to take four years to complete.
Western LNG says it will honor and update existing benefits agreements with First Nations and offer equity stakes in the pipeline.