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    Canada’s Enbridge completes deal for stake in Woodfibre LNG

Summary

Construction expected to begin in 2023, targeting completion in late 2027. [Image credit: Woodfibre LNG]

by: Dale Lunan

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Complimentary, Natural Gas & LNG News, Americas, Liquefied Natural Gas (LNG), Corporate, Investments, News By Country, Canada

Canada’s Enbridge completes deal for stake in Woodfibre LNG

Canadian midstream company Enbridge said November 29 it had completed its previously-announced C$1.5bn acquisition of a 30% equity interest in the 2.1mn mt/yr Woodfibre LNG project in BC from Pacific Energy.

Enbridge and Pacific Energy, part of Indonesia’s RGE Group, will each make pro-rata contributions during construction through a combination of expected asset level financing and equity investments. 

In exchange for its capital contributions, Enbridge will receive a preferred equity interest that provides predictable cash flows. 
Pacific Energy will retain responsibility for daily operations.

Pacific Energy issued a notice to proceed to Woodfibre’s prime contractor, McDermott International, in April. Major construction is expected to begin in 2023, targeting an in-service date in Q4 2027.