American-Japanese team wins $11bn Canadian natural gas project

A joint venture between American engineer Fluor and its Japanese counterpart JGC Corporation has won a US$11bn contract for the design, procurement, fabrication and assembly of a liquefied natural gas (LNG) plant in Kitimat in British Columbia.

The contract will be undertaken for LNG Canada, a consortium made up of Shell, Petronas, PetroChina, Mitsubishi Corporation and Kogas.

The project will initially consist of two liquefaction units, known as trains, producing 14 million tonnes of LNG a year. LNG Canada has the option to expand this to four trains in the future.

Some 4,500 workers will be employed at the peak of construction, with Fluor and JGC pledging to hire locals on the project.

David Seaton, Fluor’s chairman, said: "Fluor remains focused on delivering capital efficiency for our clients and we are excited that our joint venture team’s innovative solutions have helped to enable LNG Canada to achieve final investment decision."

Work on the project will begin in this year, with the first LNG expected to be produced during the middle of the 2020s.

Image: An aerial view of the LNG Canada site in Kitimat, British Columbia, Canada (Fluor/Business Wire)

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