City of Prince George July 2016
WHO WE ARE Canadian Port Authorities For profit, non shareholder organizations with a mandate from the federal government under the Canada Marine Act Our Mandate and Letters Patent To develop and grow the Port of Prince Rupert in an aggressive, economical, safe and environmentally sound manner. Act as an instrument of Canadian trade Steward of Federal Crown Land Terminal investors and operators are tenants Oversight of Prince Rupert Harbour shipping activity Autonomous; governed by a Board of Directors Must be commercially viable
A VITAL CANADIAN TRADE GATEWAY TO ASIA 3
TRADE CONNECTIONS IMPORTS & EXPORTS To North America Consumer goods Apparel Furniture Electronics Auto parts Project cargo Cruise passengers From North America Wheat & canola Lumber & Pulp Metallurgical coal Petroleum coke Soybeans & Pulse crops Wood pellets Auto parts 4
TRADE CONNECTIONS IMPORT CARGO & REACH Other 4% S. Korea 3% Vietnam 6% 2014 INTERMODAL VOLUMES --- BY IMPORT ORIGIN -- China 87% Cleveland 3% Columbus 3% Indianapolis 3% Detroit 3% Arcadia 3% 2014 INTERMODAL VOLUMES BY IMPORT DESTINATION Joliet 6% C. Falls 3% Montreal 14% Alberta 3% Toronto 17% Chicago 23% Memphis 19% 4
TRADE CONNECTIONS EXPORT CARGO & REACH 2014 INTERMODAL VOLUMES BY EXPORT DESTINATION 2014 INTERMODAL VOLUMES BY EXPORT ORIGIN Taiwan 2% Japan 2% S. Korea 4% Other 2% Other USA 10% Ontario 3% ---... -------- Other CDN 2% Wisconsin 5% China 90% Illinois 21% BC 59% 5
PORT OF S STRATEGIC ADVANTAGE Closest North American port to Asia One to three days closer than other West Coast Gateways to China/Korea/Japan Deepest natural harbour in North America Big Ship Ready : able to safely handle the largest vessels used in global trade One of the safest vessel approaches on the West Coast Short, sheltered and efficient access from international shipping lanes through Sound Superior and uncongested rail connection to North American heartland CN network provides fast, reliable, extensive access to markets and resources Exceptional community support for operations and expansion Strong backing from regional communities, First Nations, and labour for continued Port development 7
CANADIAN TRADE SOLUTION (Annual Port Volumes, Million Tonnes) 25 20 15 10 5 0 2003 2004 2005 2006 2007 2008 2009 2010 2011 2012 2013 2014 2015 8
TRADE BRINGS REGIONAL ECONOMIC BENEFITS (Port-related Employment in Northern BC) 6,000 5,000 4,770 FTEs 4,000 3,000 2,260 2,200 3,500 3,060 2,000 1,460 1,000 0 2009 2011 2014 Direct Direct + Indirect 9
WAGES EARNED FROM THE GATEWAY INDUSTRY (From Port-related Employment in Northern BC) $250 Total Direct Wages ($Millions) $200 $150 $100 $50 Annual Avg: $54,000 Annual Avg: $58,000 Annual Avg: $64,000 $0 2009 2011 2014 10
~.- - ~ NORTHERN BC S GATEWAY INDUSTRY BY SECTOR (Port-related Employment in Northern BC) Rail & Trucking Activities 1,540 PYs Other Port-Related Activities 264 PYs Marine Activities 234 PYs Terminal & Stevedoring Operations 728 PYs Government =~;!,ority Agencies & Related Adminis- 126 PY~ tration lllll1 70 PYs Logistics & Warehousing 97 PYs 19.r «<, )~ ~ I 11
TRADE FACILITATES GOVERNMENT REVENUES (Port-related Government Revenues from Northern BC, $Millions) 90 80 70 60 Total Taxes $69 Million Total Taxes $81 Million 50 40 30 Total Taxes $35 Million Municipal Provincial Federal 20 10 0 2009 2011 2014 12
MARINE SAFETY & SECURITY Making a Safe Harbour Safer Ensuring security and safety of vessels, cargo and people Preparing for increase from 500 to 2,000 vessels per year and introduction of new types of vessels and cargoes Measure risk and identify priorities Proactively update practices and procedures Improve Capacities Shore Radar Navigational Aids E-Navigation At the Port of Prince Rupert, a comm~ment to safe shipping is part of who we are. Local experts and organizations work together every day to apply industryle.iding practices in vessel handling and harbour safety. Gordon Coutts and the crew of the Pacific Pilotage Authority's Pacific Pathfinder pilot launch vessel are part of the picture. Gel the facts today al www.rupertport.com/safety. 13 PR I NCE RUPERT
~.- - ~ ENVIRONMENTAL STEWARDSHIP PRPA s Sustainable Leadership -A - GREEN MARINE Cumulative Data Monitoring Water Quality Air Quality Carbon Emissions Dustfall Noise Shoreline Habitat Aquatic Invasive Species Marine Mammals Impact Prevention Water & Land pollution prevention (cargo residue, oily waters) Other Use Conflicts (odours, light) Performance Improvement Green Marine environmental certification Green Wave emission reduction incentives to ships Clean Truck program real time monitoring
SUSTAINABLE GATEWAY DEVELOPMENT PLANS GUIDING PRINCIPLES: Integrate intermodal and bulk cargo into port development planning Designate highest and best use development clusters through informed land use planning Find efficiency through commonuser rail, road, utility and marine infrastructure planning & investments minimize userspecific and custom solutions Limit energy use by planning to minimize truck traffic, cargo handles, and transportation distances within port jurisdiction Value diversification equally to existing cargoes as the Port accommodates growth EXPECTED OUTCOMES: Enable 100+ tonnes of cargo capacity for Canadian trade Diversified bulk, break bulk and intermodal cargoes, services and markets Minimized community, terminal and traffic conflicts Maximized density, efficiency and productivity within established port footprint Maximized potential for local value-added economic activity related to logistics and transportation services 15
~.- - ~ ADVANCED PROJECT: FAIRVIEW CONTAINER TERMINAL Phase 2 North Terminal Expansion Proponent: Maher Terminals Scope: Northern extension of container terminal Status: Under Construction Economic Impact: Adds 500,000 TEU of new capacity to fastest growing container terminal in North America (2015: +26%) Total capacity increases to 1.3+ m TEUs Actively investigating potential for next phase of capacity development Capital Expenditure: $200 million Phase 2 North Final Investment Decision Construction Operating Q1 2015 Q2 2015 Q3 2017 Q4 2017 13
ADVANCED PROJECT: PACIFIC NORTHWEST LNG TERMINAL Proponent: Pacific Northwest LNG (Petronas, Sinopec, Japex, et al.) Scope: Greenfield natural gas liquefaction and export facility on Lelu Island (Port lands) Status: Awaiting federal Environmental Assessment decision Economic Impact: 13 million tons of LNG exporting capacity New bulk cargo class for Port of Prince Rupert 300 new direct FTE Capital Expenditure: $11 billion Phase 2 North Final Investment Decision Construction Operating Q3 2016 (est.) 2016-2021 2021 14
ADVANCED PROJECT: RIDLEY ISLAND PROPANE EXPORT FACILITY Proponent: AltaGas Scope: New propane export facility on a site leased from Ridley Terminals Inc. (RTI) Economic Impact: 1.2 million T of new LPG capacity 40 new direct FTE Phase 2 North Capital Expenditure: $400 million Status: Under Environmental Assessment Final Investment Decision Construction Operating Q4 2016 Q1 2017 Q4 2018 Q4 2018
rupertport.com @rupertport /rupertport Ken Veldman Director, Public Affairs (250) 627-2526 (250) 600-0670 kveldman@rupertport.com