North American LNG Projects Connected to Processing Canadian Oil Sands
Posted on Nov 19, 2007 in Canada & Mexico, Pipelines, Regas Terminals & Capacity | Comments Off on North American LNG Projects Connected to Processing Canadian Oil Sands
The Calgary Herald reports that as discussions continue on the long-contemplated Mackenzie Valley gas pipeline connecting northern gas fields to oil sands wells in Alberta, proposed LNG projects, including the Kitimat LNG project along Canada’s Pacific Coast, may preempt the pipeline. Processing the oil sands into usable petroleum requires a great deal of energy, usually in the form of natural gas. In addition, the article also notes that despite a rigorous regulatory review process for LNG projects, Kitimat LNG would be competitive due to the expected high cost of the Mackenzie Valley pipeline.