Once condensed, LNG will take about 1/600th the volume of natural gas in the gaseous state. Because it takes up so much less space, it can be loaded into specifically designed containers to be transported to where it is needed.

Current Uses of BC LNG

LNG produced across B.C. is currently used in Canada to satisfy energy demands, while meeting greenhouse gas emissions targets and reducing air pollution. Currently in B.C., we support:

• Virtual pipelines - transporting LNG by road allows for the creation of virtual pipelines to Canada’s northern communities not connected to natural gas pipelines.
• Diesel reduction - LNG is used as fuel for ferries and road transportation and is helping displace diesel usage in remote northern communities for heating and power.
• Peak-shaving - Energy is stored in the form of LNG for winter use when more natural gas is required for heating, maximizing usage of the existing natural gas pipelines.
• Overseas export - LNG is exported overseas in vessels built specifically to carry LNG cargo. LNG can also be exported in containers built to carry LNG cargo loaded onto rail or trucks.

Potential Future Uses of B.C. LNG

In addition to the use on ferries, it is expected more ocean-going vessels will transition to LNG as a fuel as the international requirements become more stringent for reducing air pollution from ships.

Natural Gas

Natural gas activities have been taking place in B.C. since the early 1950s.

The northeast region of the province is where most natural gas resources can be found - predominantly the Horn River Basin and the Montney Basin. Once produced, the natural gas from these basins may then be conveyed via pipelines to LNG facilities for processing.

LNG Facilities

LNG facilities have been operating in B.C. since the early 1970s.

Before cooling and condensing natural gas to a liquid state. impurities such as water, carbon dioxide and other materials are removed. In the next stage, the natural gas is cooled to separate out other liquids, such as propane and butane. The final step further cools the natural gas to -162 degrees Celsius turning it into LNG, which is stored at near atmospheric pressure.

From the storage area, the LNG can be reheated for use or transported. The liquefied form is not transported by pipeline – but by truck or rail in specifically built containers or in vessels built specifically to carry the cargo. Once it reaches its end destination, the LNG is reheated and converted back into a gaseous state for use.

LNG transportation in Canadian waters is regulated by the Federal Government via Transport Canada.

LNG Export Facilities

Larger LNG facilities are required to undergo an environmental assessment in B.C. The Environmental Assessment Office follows a clearly defined process in the Environmental Assessment Act to conduct these assessments. This process, including reports and consultation details, is available to the public on the Environmental Assessment Office’s project site. Depending on the project, a federal impact assessment may also be required by the Impact Assessment Agency of Canada.

LNG Projects

There are several LNG related projects operating in B.C., including LNG Canada, which is the country’s first large-scale liquefied natural gas (LNG) export facility. Located in Kitimat, it is designed to process natural gas into LNG for overseas export. To learn more about this project and the BCER’s role, check out the LNG Canada Regulatory Oversight fact sheet.