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  • Musqueam Indian Band and FortisBC Holdings Inc. sign Tilbury LNG Projects Agreement
    édité le 11/08/2022

Musqueam Indian Band and FortisBC Holdings Inc. sign Tilbury LNG Projects Agreement
FortisBC Holdings Inc. (FortisBC) and Musqueam Indian Band (Musqueam) are announcing the signing of an agreement, which will result in the parties sharing benefits associated with the Tilbury LNG Projects (Projects). The agreement will see Musqueam and FortisBC working in close collaboration as the Projects are developed, including the Tilbury Marine Jetty. A shared goal of this agreement is to develop a world-leading LNG facility that will result in beneficial outcomes for Musqueam and the region, while improving the overall quality of these Projects.

In recent years, Musqueam and FortisBC have worked to develop a mutually beneficial relationship. The Tilbury LNG Projects Agreement is a direct result of this relationship. It includes options, subject to regulatory approvals and certain conditions precedent, for Musqueam to acquire equity ownership in the proposed Projects. This includes the Tilbury LNG Storage Expansion Project and the Tilbury Marine Jetty Project. The equity options recognize the important relationship between FortisBC and Musqueam, and our shared desire to be true partners.

Musqueam Chief Wayne Sparrow says sharing equity ownership in the Tilbury LNG Projects is an important step on the path to genuine partnership, “Musqueam is looking forward to being an equity partner with FortisBC at Tilbury, on the shore of the Fraser River, in the heart of Musqueam territory. For thousands of years, Musqueam has lived along a trading route and supported trade in the region. Through our relationship with FortisBC, we are building on this strength while being leaders in energy stability and ensuring benefits for future generations.”

This agreement is in addition to the project mitigations that have been or will be implemented as part of the Tilbury LNG Projects’ regulatory processes. Musqueam will continue to work with FortisBC and regulators to ensure Musqueam’s interests are addressed.

The Tilbury LNG facility is ideally positioned to meet market opportunities and the Projects will elevate Tilbury’s role in the global transition to lower carbon energy, according to FortisBC President & CEO Roger Dall’Antonia. “Tilbury is powered by renewable hydroelectricity, which means it can produce LNG that is nearly 30 per cent less carbon intensive than the average global LNG. We value our long-term relationship with Musqueam, and I am pleased we have the opportunity to advance these Projects in full partnership with Musqueam. We look forward to continuing our collaboration with Musqueam as the Projects are developed.”

About Tilbury LNG Expansion Projects

For more than 50 years, the Tilbury LNG facility in Delta has been at the heart of BC’s energy system, storing and providing natural gas for use on the coldest days of the year. Over time, customer needs have evolved and so has Tilbury. The Phase 1A expansion, commissioned in 2019, added a 46,000 cubic metre storage tank and LNG liquefaction capacity of 0.25 million tonnes per annum (MTPA). Further Tilbury expansions are proposed to help strengthen FortisBC’s gas system and provide more LNG to customers wanting to reduce their carbon footprint as follows:

Phase 1B

This expansion is intended to serve growing demand for LNG as a marine fuel by increasing LNG liquefaction capacity by up to 0.65 MTPA. By expanding Tilbury’s capacity, we can advance LNG as a lower-carbon alternative fuel to diesel or bunker oil for marine shipping.

Phase 2

This expansion has two components and serves two functions. The first component is an additional storage tank of up to 142,400 cubic metres to provide a backup energy supply to the Lower Mainland, which strengthens the resilience of our gas system. The second component is additional liquefaction of up to approximately 2.6 MTPA which will produce LNG to help regional or international customers switch from higher carbon fuels like diesel or coal.

Marine Jetty

The Tilbury Marine Jetty is proposed by Tilbury Jetty LP, an affiliate of FortisBC, and would be located adjacent to the Tilbury LNG facility. This project, through providing ship loading services for LNG, enables ship-to-ship LNG marine fuelling in the Port of Vancouver, which can significantly reduce emissions from the shipping industry. It also enables bulk export for LNG to displace higher carbon fuels in industry and energy generation in global markets. LNG from Tilbury can reduce GHG emissions from ships up to 27 per cent when switching from traditional marine fuel.

About FortisBC

FortisBC Holdings a British Columbia corporation that owns all of the shares of FortisBC Energy Inc. FortisBC Energy Inc. is a regulated utility focused on providing safe and reliable energy, including natural gas, propane and thermal energy solutions. FortisBC Energy Inc. employs more than 1,800 British Columbians and serves approximately 1,029,000 customers in 135 B.C. communities. FortisBC Energy Inc. owns and operates approximately 49,000 kilometres of natural gas transmission and distribution pipelines. FortisBC Holdings Inc. and FortisBC Energy Inc. are wholly owned subsidiaries of Fortis Inc., a leader in the North American regulated electric and gas utility industry.

Origine : Communiqué FortisBC

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