The move to build a $25-billion oil refinery on B.C.'s west coast took a major step forward as David Black, president of privately held Kitimat Clean Ltd., signed a memorandum of understanding with the Industrial and Commercial Bank of China Limited in April.
Imperial Oil Limited and its parent Exxon Mobil Corporation are continuing to look at potential sites for a liquefied natural gas (LNG) export terminal in British Columbia.
Four new, major international liquefied natural gas (LNG) project proposals have come forward following an expression of interest by the B.C. government on Crown land at Grassy Point near Prince Rupert, the province announced in April.
AltaGas Ltd., which is partnering with Idemitsu Kosan Co., Ltd. of Japan, is in the best position to deliver natural gas for export from Canada ahead of other proposed projects, the company's shareholders heard in late April.
Powered by two parcels that combined for total bids of $32.47 million, the British Columbia government collected $40.5 million at its April land sale.
The provincial government sold 15,760 hectares at an average of $2,570.10. Year-to-date, industry land spending has risen in the natural gas-prone province to $97.17 million on 45,489 hectares at an average of $2,136.03 per hectare. To the same point of 2012, the government had collected $81.1 million for 63,025 hectares at an average of $1,286.75.The bonus bid high at this week's sale came from O & G Resource Group Ltd., which paid $16.96 million for a 5,016-hectare lease that produced an average price of $3,381.55. The parcel included three tracts at I-94-G-08, J-94-G-08 and G-94-G-08.
Plunkett Resources Ltd. paid a bonus of $15.51 million for the other parcel, a 5,853-hectare lease, which produced an average price of $2,650. It also included three tracts at J-94-G-08, K-94-G-08, L-94-G-08, E-94-G-08 and F-94-G-08.
Brad Hayes, president of Petrel Robertson Consulting, said all the expensive parcels in the sale appear to be driven by the Montney. Most of the land is posted for deeper rights only—below the base of the Charlie Lake or Halfway—which makes the Montney the primary target, he said.
"The most expensive parcels appear to be pushing the main Montney fairway northwestward through an area where shallower zones are already developed with horizontal and vertical wells along structural trends," Hayes noted.