Canada's Natural Gas Industry Faces Environmental Scrutiny

As Canada's natural gas industry prepares to export an additional 296 MMcfd to the United States, environmental concerns are mounting. The National Energy Board (NEB) has received multiple bids to export gas, including a proposal from Brooklyn Navy Yard Cogeneration Partners L.P. to ship 26.5 MMcfd to a proposed electricity co-generation plant in Brooklyn, New York. Environmental groups have already challenged the export plans, citing concerns over the environmental impact of the shipments, which total 429 Bcf over 15 years.

Key Takeaways:

  • The National Energy Board (NEB) has received multiple bids to export natural gas to the United States, including a proposal from Brooklyn Navy Yard Cogeneration Partners L.P. to ship 26.5 MMcfd to a proposed electricity co-generation plant in Brooklyn, New York.
  • Environmental groups have challenged the export plans, citing concerns over the environmental impact of the shipments, which total 429 Bcf over 15 years.
  • Crestar Energy Inc. and PanCanadian Petroleum Ltd. have agreed to provide gas to Brooklyn once its existing license expires in 15 years.
  • Renaissance Energy Ltd. of Calgary has also proposed exporting 2.8 MMcfd over the next nine years to Delmarva Power & Light Co., a gas distribution company in Wilmington, Del.
  • The NEB will set a date for a hearing on the proposals once it has a sense of the public response.

Statistics:

  • 296 MMcfd: total amount of natural gas proposed for export to the United States.
  • 26.5 MMcfd: amount of natural gas proposed for export by Brooklyn Navy Yard Cogeneration Partners L.P. to a proposed electricity co-generation plant in Brooklyn, New York.
  • 429 Bcf: total amount of natural gas proposed for export over 15 years for environmental screenings.
  • 15 years: duration of the proposed export for environmental screenings.
  • 9 years: duration of the proposed export by Renaissance Energy Ltd. of Calgary to Delmarva Power & Light Co.
  • 2.8 MMcfd: amount of natural gas proposed for export by Renaissance Energy Ltd. of Calgary to Delmarva Power & Light Co.

Sources:

  • "Ottawa -- Canada's natural gas industry is bracing itself for another onslaught from environmentalists following the latest round of bids to export gas to the United States." (Source: [Newswire], [Date not specified])
  • "Brooklyn Navy Yard Cogeneration Partners L.P. of New York has asked Canada's National Energy Board (NEB) for a five-year permit to ship 26.5 MMcfd to a proposed electricity co-generation plant in Brooklyn, New York." (Source: [Newswire], [Date not specified])
  • "Both Crestar Energy Inc. and PanCanadian Petroleum Ltd. have said they will provide Brooklyn with the new gas, which will only be delivered once Brooklyn's existing license expires in 15 years." (Source: [Newswire], [Date not specified])
  • "Renaissance Energy Ltd. of Calgary also wants to export 2.8 MMcfd over the next nine years to Delmarva Power & Light Co., a gas distribution company in Wilmington, Del." (Source: [Newswire], [Date not specified])
  • "The NEB rejected the appeal, saying it did not have the mandate to do more exhaustive screenings." (Source: [Newswire], [Date not specified])