Canadian firm Pieridae Energy Ltd on Thursday said it delayed a final investment decision (FID) on a $10 billion project to construct the Goldboro liquefied natural gas export plant in Nova Scotia. The company previously expected to reach the FID in the third quarter of 2020 and start LNG production between November 2024 and May 2025.
However, it now expects to make the FID after September 30 as energy demand plunges amid measures to contain the coronavirus pandemic. Pieridae CEO Alfred Sorensen said the company remained confident to proceed with the project once market conditions improve.
Goldboro plant will incorporate two liquefaction trains with a total capacity of nearly 10 million tons/year of LNG, or about 1.3 Bcfd of natural gas. Pieridae has secured a 20-year supply deal with German utility Uniper SE for 5 million tons/year of LNG from the plant’s first liquefaction train, starting between November 30, 2024, and May 31, 2025.
Pieridae said it is discussing with Uniper about a possibility to delay the FID deadline until June next year and believes Uniper will accept it. The company said it expects to complete the construction in about 56 months, which will involve about 4,500 workers.
