AltaGas. Introduction to AltaGas and the Proposed Ridley Island Propane Export Terminal. Prince George City Council July 11, 2016

Transcription

1 Introduction to and the Proposed Ridley Island Propane Export Terminal Prince George City Council July 11, 2016

2 Presentation 1. overview 2. Investments in B.C. 3. Community engagement 4. Propane in every day life 5. Why export propane 6. Proposed Propane Export Terminal overview 1

3 overview Vision To be a leading North American energy infrastructure company Strategy To realize opportunities created by the renaissance of natural gas and by the increasing demand for clean energy Energy infrastructure Develop, construct, operate and own 2

4 Well diversified energy infrastructure Power utllltles IE! llllltlz B ~2 Bcf/d of natural gas transacted Processing and moving natural gas and natural gas liquids to key markets, including Asia 1,688 2 MW of power generation in four fuel types Generating clean energy with natural gas and renewable sources 5 Utilities serving over 560,000 customers Delivering clean and affordable natural gas to homes and businesses 1,700 employees drive best in class operations Above all else, safety and environmental protection are most important core values 3

5 Investments in B.C. 198 Mmcf/d Townsend Facility Project 82 Mmcf/d Blair Creek Gas Plant 66MW Mclymont Creek Hydroelectric Facility 750 Mmcf/d Younger Extraction Plant 16MW Volcano Creek Hydroelectric Facility 20,000 US gallons/d Dawson Creek Regional LNG Project 195MW Forrest Kerr Hydroelectric Facility Pacillc Northern Gas Pipeline 102MW Bear Mountain Wind Park 1.2 Mmtpa Ridley Island Propane Export Terminal Project Vancouver ~ Gas Processing ~ Gas Processing Under Construction ~ Hydro Power Generation I! Wind Power Generation ~ Regional LNG Facility Under Construction LPG Proposed/ Under Development 4

6 in B.C. Forrest Kerr Hydroelectric Facility Younger Extraction Plant Volcano Creek Hydroelectric Facility Townsend Gas Processing Facility Project Bear Mountain Wind Park IDL Projects Inc., from Prince George was selected as one of the contractors to work on the Townsend Project. McLymont Creek Hydroelectric Facility 5

7 Ferndale Terminal Ferndale, Washington has been safely operating the Ferndale Terminal since 2014 The only existing and operating LPG export terminal on the west coast of North America The Terminal has operated safely for more than 40 years handling propane and butane that arrives by truck, rail and pipeline The Terminal can handle 24 railcars per day 6

8 Community engagement is committed to building long-term, mutually beneficial working relationships with communities and First Nations We are committed to ensuring a safe workplace, protecting employees, the public and the environment Our mandate is to work collaboratively with local communities and First Nations to ensure sustainable development plans are put in place Our Purpose: Information gathering and sharing - Learn who the interested and impacted stakeholders are - Solicit feedback - Establish a presence in the community so stakeholders know who to contact - Inform the community on how to participate in the regulatory process 7

9 Propane in every day life Liquefied petroleum gas or LPG is a term used to describe two fuels: propane and butane Propane is a clean-burning, portable, multipurpose fuel that is non-toxic, economical, and safe Several billion people around the world use propane for cooking and heating, generating power, cleaning and drying clothes, and powering equipment like forklifts Almost half of global propane consumption is for domestic use, the remainder is consumed by the chemical industry, refineries, transport, industry and agriculture 1 LPG emits about 20% less CO 2 than heating oil and 50% less than coal 2 1- World LPG Association Annual Report World LPG Association 8

10 Why export propane Canada has an abundant supply of propane to offer global markets that rely on energy imports to meet energy demands million tonnes produced annually in Canada 1 - Traditionally most of Canada s propane exports have gone to the U.S., however the U.S. has become self-sufficient In 2013, global consumption of LPG amounted to 267 million tonnes 2 "' a,,=,= 300.8,=.Q 250 ~ World final energy consumption of LPG by country/region, Approximately 50% of all households in Japan use LPG 3 Environmental concerns such as emissions of greenhouse gases are driving increased demand Rest of wor d Europe/Eurasia Ind ia J.a an Sa1udi Ar.abia China us Source: WLPGA/Argus Media (2014) 1- Canadian Propane Association - 11 billion litres 2- LPG and the Global Energy Transition, A study on behalf of the World LPG Association 3- Japan LP Gas Association 9

11 Proposed Propane Export Terminal is proposing to build a new Propane Export Terminal on a site sub-leased from Ridley Terminals Inc. (RTI) The Terminal will receive liquid propane from B.C. and Alberta via CN s existing rail line Propane will be transferred to intermediate pressurized storage bullets Propane will be cooled to -42 C, stored and shipped at atmospheric pressure Cooled propane will be transferred to Very Large Gas Carriers (VLGC) using the existing RTI coal jetty Propane will be transported to Asia and other markets Boil-off gas recovery and reliquifaction unit ct~) Very Large Gas Carrier travelling to Asia ~ Pipeline to loading area Rail transport Propane storage Refrigeration unit Refrigerated storage tank Mooring structure & loading arm 10

12 Why locate at Ridley Island The RTI site is strategically located: Short shipping distances to target markets in Asia History of industrial development/use and liquid bulk loading terminals are supported in PRPA s Land Use Plan Existing CN rail lines and coal export jetty and berthing facilities All new construction will take place on previously cleared land and/or will build upon existing infrastructure 11

13 Project site location at Ridley Island Proposed Ridley Island Propane Export Terminal Project Site 12

14 Proposed Propane Export Terminal Altauas 13

15 Schedule Project Schedule Consultation Environmental and Regulatory Process Design and Detailed Engineering Procurement Construction Targetd Startup * Date ranges are approximate and subject to change. is advancing towards a final investment decision in late 2016, and is targeting a commercial operation date to begin propane exports in The Project would be the first propane export terminal to be constructed and operated off the west coast of Canada. 14

16 Project benefits Provide Western Canadian producers with new market access to Asia, a premium market for propane Contribute to national trade and enrich Canadian-international partnerships Diversify product at Ridley Terminal Support long-term economic stability in the region and provide local employment opportunities Provide skills training and employment opportunities to local First Nations Lead to approximately: construction jobs permanent job opportunities once the facility is operational Ferndale Terminal operated by - Ferndale, Washington Ferndale Terminal operated by - Ferndale, Washington 15

17 Environmental review and permitting Project will undergo an environmental review Engagement planned with First Nations, the public and other stakeholders The following is a preliminary list of major pre-construction authorizations that may apply to the Project: - Section 67 Determination (under the Canadian Environmental Assessment Act, 2012) - Navigation Protection Act approval - Fisheries Act authorization, (if necessary) - Explosives Act Permit, (if necessary) I '... ~ ,.. -. Protection of the environment is a core value at... 16

18 Section 67 process: key steps Step 1: prepares a Project Description - completed Step 2: Project Description review by Federal Agencies, including a 30-day First Nation and public engagement period - completed Step 3: submits an Environmental Assessment Step 4: Environmental Assessment review by Federal Agencies, including a 30-day First Nation and public engagement period Step 5: Project Decision by Federal Authorities Step 6: Project approval conditions issued by Federal Agencies 17

19 Questions? 18