Regional LNG: Woodfibre LNG advances construction of world's first net zero facility

By Romel S.Gurky

Royal Golden Eagle (RGE) Group reported on Wednesday that Woodfibre LNG is progressing with the construction of the world's first net zero liquefied natural gas (LNG) export facility near Squamish, British Columbia, Canada.

The project, which commenced in August 2023, aims to produce 2.1 million tonnes of LNG annually and includes a 250,000 m³ floating storage capacity. Initially estimated at $1.6 billion, the project's cost was revised to $5.1 billion in mid-2022.

Ownership of the facility is divided between Pacific Energy Corporation Limited, holding a 70% stake, and Enbridge Inc., which acquired a 30% interest in July 2022 through a $1.5 billion investment.

Read also : Regional LNG: Woodfibre LNG Export, CNOOC sign LNG agreement

Pacific Energy is a subsidiary of Royal Golden Eagle (RGE), a global resource-based manufacturing group founded by Indonesian tycoon Sukanto Tanoto. Established in 1973, RGE manages a diverse portfolio in pulp and paper, palm oil, and energy sectors, with assets exceeding $35 billion and a workforce of over 80,000.

The Woodfibre LNG project is notable for its collaboration with the Sḵwx̱wú7mesh Úxwumixw (Squamish Nation), which serves as a regulator, ensuring environmental and cultural considerations are integrated into the development. Construction milestones achieved include the installation of over 110 marine piles to support mooring and loading facilities, and the placement of riprap along the shoreline to prevent erosion. A "floatel" was also introduced in June 2024 to accommodate the workforce of over 650 personnel.

The facility is designed to utilize clean hydroelectric power, minimizing its carbon footprint and aligning with global sustainability goals. With construction well underway, the Woodfibre LNG project is on track to become a pioneering force in delivering net zero LNG to international markets, RGE said.

Editing by Alexander Ginting