Goldboro’s looming economic restoration
A $4.5-billion LNG and petrochemicals facility is slated for the population depressed port town of Goldboro, Nova Scotia. The facility would be the first of its kind in the region. After three decades of decreasing population, things are finally looking up
Maple LNG is an affiliate of Netherlands LNG terminal operator 4Gas. Through an arbitrage agreement, 4Gas functions as a broker to LNG suppliers by offering them access to a series of international re-gasification terminals – a lucrative deal because it gives suppliers the option to choose a location with the best value according to market prices.
Either way, suppliers will not confirm their commitment until the facility has been approved, MacDonald says. “Often people see that as the critical element but you can’t address that element until you’re permitted.”
The final sanction of the project rests on federal environmental approvals expected by the end of this summer followed by construction permits expected in the fall. Project completion is targeted for 2010 after about three years of construction.
Another LNG project in Point Tupper, N.S. is pending while Irving Oil’s Canaport LNG facility in Saint John, N.B. is already underway. Both of these projects are valued under $1 billion.
Maple LNG and Keltic Petrochemicals are seeking a minimum 15- to 20-year supply of feedstock for the integrated project, which will include a world-scale petrochemical plant, an LNG re-gasification terminal and gas storage facility and a power co-generation plant.
Keltic Petrochemicals president Kevin Dunn anticipates “huge” economic spin-offs from the project based on the number of calls he’s received from businesses interested in relocating to the area. “We wouldn’t be at it if it wasn’t going to happen,” he said. “We’re not wasting our money or anyone else’s.”
Set to be built adjacent to the Sable Offshore Energy Plant on the North Shore of Isaacs Harbour, the facility will employ up to 600 permanent workers at an annual payroll of $35 to $36 million. About 155 of those workers could be Guysborough County residents. The construction phase will provide work for 3,000 temporary employees over a 33-month term.
The integrated facility will be designed to receive LNG carriers with capacities from 75,000 to 250,000 square metres. LNG supplies from the proposed plant as well as production from the Sable project will be used to run the proposed petrochemical plant. Natural gas supply will be shipped through the Maritimes and Northeast Pipeline to Canadian and U.S. markets.
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