RBC Capital Markets Predicts Green Light for Cedar LNG Project

Investors eagerly eyeing the proposed US$3.4-billion Cedar LNG project in Kitimat, B.C. may soon see a positive final investment decision, according to RBC analyst Robert Kwan. The project, a joint venture between Pembina Pipeline Corp. and the Haisla Nation of B.C., is expected to move forward with the construction of a floating liquefied natural gas facility.

Pembina recently secured a long-term natural gas supply agreement with ARC Resources Ltd., a Calgary-based company with drilling operations in the Montney region of northeast B.C. and northwest Alberta. This partnership marks a significant step towards the completion of Cedar LNG, as Pembina has issued a formal “notice to proceed” for the engineering, procurement, and construction of the LNG production unit.

The Cedar LNG project is set to be a game-changer, as it would be the largest Indigenous-owned infrastructure project in Canada. With plans to produce liquefied natural gas for export to Asian markets, this venture holds promising economic potential for both Pembina and the Haisla Nation.

Pembina has announced that a final investment decision is expected to be made by the middle of this year, indicating progress towards the realization of the Cedar LNG project. As investors eagerly anticipate this decision, all eyes are on Pembina and the Haisla Nation as they forge ahead with this groundbreaking initiative.

The time is ripe for investors to keep a close watch on the developments surrounding the Cedar LNG project, as the energy landscape continues to evolve. With RBC Capital Markets predicting a green light for the project, all signs point towards a promising future for the Cedar LNG venture.

Source: The Canadian Press ©2024.

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