Pacific Northwest LNG (PNW LNG) has announced they won’t be moving forward with a proposed LNG project on Lelu Island following a decision by their investment partners.
“The decision was made by PETRONAS and its partners after a careful and total review of the project amid changes in market conditions,” said Pacific Northwest LNG in a statement this morning.
“We are disappointed that the extremely challenging environment brought about by the prolonged depressed prices and shifts in the energy industry have led us to this decision,” says Anuar Tiab, Chair of the PNW LNG board.
“For almost five years we have been working with local governments, First Nations, residents and businesses about our proposed project and are very grateful for the support we have received,” says Pacific NorthWest LNG.
The proponent was looking to construct an export facility on top of a salmon estuary on Lelu Island near Prince Rupert. Natural gas would be shipped to the facility via the proposed Prince Rupert Gas Transmission Project that would run through a part of the Gitxsan territory north of Hazelton.
After the Federal government gave the project the green light last year, legal action was filed by two house groups of the Gitxsan Nation, the Gitwilgyoots, Gitanyow and Skeena Wild.
They each allege the federal government failed to properly consult with First Nations ahead of approving the project.
Wet’suwet’en Hereditary Chief Namoks says the regulatory process is still flawed and says litigation will continue.
“If they haven’t learned from Enbridge, and they haven’t learned from Petronas; when will they ever learn? It’s the people who have the power – we’ve always said that – not the elected officials or industry,” says Namoks.
“We cannot let our guard down. These ridiculous projects will continue to be put forward and we will continually be in their way. We have to take care of what we have, we can’t lose what we have.”
PNW LNG says they will complete outstanding business commitments by the end of September.
“Our Prince Rupert and Port Edward offices are scheduled to be closed effective August 25, 2017,” says the proponent.