CALGARY – If Shell Canada Ltd. announces plans to proceed with the US$40-billion LNG Canada project as expected next week, it would lift “a dark cloud” that’s been hanging over the country’s energy sector, according to analysts.
Excitement has been building in Calgary following a string of announcements from two of Shell’s Asian partners in the project.
Bloomberg News cited filings from the Hong Kong Stock Exchange Friday that showed PetroChina Co., China’s largest oil and gas company and 15 per cent owner of LNG Canada, had approved spending US$3.46 billion for its share of the project. Korea Gas Corp. made a similar announcement in Seoul about its 5 per cent stake.
The other project partners — including 40 per cent owner Shell, 25 per cent owner Petroliam Berhad Nasional, or Petronas, and 15 per cent owner Mitsubishi Corp. — have yet to announce their decisions.
Bloomberg also reported that an announcement on the project is coming Tuesday, Oct. 5 followed by an event at a local golf course in Kitimat. The city’s mayor Phil Germuth told the Financial Post, however, that he hasn’t been informed of an event in the city or a decision by Shell.