Woodfibre LNG delays project start to 2021 amid Covid-19 pandemic

Developers of the Woodfibre LNG export project in British Columbia are delaying the start of construction to 2021 due to the Covid-19 pandemic.

The project is a proposed liquefied natural gas (LNG) processing and export facility developed by Woodfibre LNG, a Pacific Oil & Gas Company.

Canadian Broadcasting Corporation (CBC) cited project spokesperson Rebecca Scott as saying that the substantial construction expected to start this summer would not take place until the middle of next year.

The delay comes as a result of a shutdown of a fabrication yard in Asia to contain the spread of the coronavirus (Covid-19) pandemic. This yard makes components for the project.

According to Rebecca Scott, another cause of delay is that the preferred construction contractor for the marine portion of the project has filed for Chapter 11 bankruptcy protection in the US and won’t be available to start the project work as expected.

CBC quoted Rebecca Scott as saying: “The key thing here is that we’re full steam ahead.

“We’re still meeting all of our pre-construction commitments. Really nothing changes for us except our projection for start of construction.”

Last May, Woodfibre LNG developer Pacific Oil & Gas signed an agreement to purchase all of the issued and outstanding shares of Calgary-based exploration and production company Canbriam Energy.

The company completed the acquisition of all issued and outstanding shares of Canbriam Energy in June of the same year.

In July last year, Canada’s BC Oil and Gas Commission (BC OGC) approved a facilities permit that allows Woodfibre LNG to build and operate a project.