Canada likely to become world's second-largest LNG exporter: report

Source:Xinhua Published: 2012-12-18 12:19:56

Canada has the potential of becoming the world's second largest liquefied natural gas (LNG) supplier in the near future, largely driven by demand of emerging markets, a report released Monday said.

The report, compiled by the Conference Board of Canada, an independent think tank, examines the economic contribution that the natural gas industry will make to Canada's economy between 2012 and 2035.

Demand for Canadian gas will double over the next 24 years, driven by both LNG exports to Asia and increased use of natural gas domestically, according to the report.

In order to export LNG, several companies have announced plans for LNG liquefaction plants, pipelines, export facilities in British Columbia, the westernmost province of Canada, the report said.

"If that were to happen, Canada would go from no LNG exports to being the second largest LNG supplier in the world over a very short period," it said.

In all, natural gas industry investments are projected to total 386 billion Canadian dollars (392 billion US dollars), most of which is expected to flow to the three westernmost provinces. British Columbia can expect to see 181 billion Canadian dollars (184 billion dollars) in investment between 2012 and 2035, the most in the country.

However, Alberta, another western province, will gain the most in gross domestic product from the investment -- an increase of 153.6 Canadian billion dollars (156 billion dollars) from 2012 to 2035.

In addition to the economic impact from investment, overall production growth is expected to contribute a cumulative 576 billion Canadian dollars (586 billion dollars) to Canada's economy, supporting 129,000 jobs per year.

Posted in: Energy

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