LIQUEFIED Natural Gas Limited has been given the go ahead from Canada’s National Energy Board (NEB) to export liquefied natural gas (LNG) from the Bear Head LNG project site.
The NEB’s decision approves an application for the authority to export up to 8 million tonnes per annum of LNG from Canada starting in 2019.
Outlined in the decision is an option to expand to increase production to 12 million tonnes per annum in 2024.
The export licence extends for a period of 25 years from the date of first LNG exports.
The Bear Head LNG project site, located on the Strait of Canso in Nova Scotia, was also granted a licence to import 800 million cubic feet per day of natural gas from the United States.
LNG Limited said this was an amount adequate to produce the authorised annual LNG exports.
NEB’s export licence decisions are subject to approval by Canada’s Governor in Council.
Bear Head project director John Godbold was pleased with the decision, saying the company was making steady progress toward complete regulatory clearance for the project.
In July 2015, the United States department of energy granted the company export authorisation to free trade agreement countries.
LNG Limited also received the last of 10 initial Canadian federal, provincial and local regulatory approvals needed to construct the proposed facility in May.
The Australian company raised $174 million in May to fund works on the Bear Head and Magnolia LNG projects.