Bear Head gets US export approval

8th February 2016 By: Esmarie Iannucci - Creamer Media Senior Deputy Editor: Australasia

PERTH (miningweekly.com) – The US Department of Energy has authorised ASX-listed Liquefied Natural Gas (LNG) subsidiary Bear Head LNG to export LNG produced from the Bear Head project to countries that do not have free trade agreements (FTAs) with the US.

“Today’s decision is an extremely positive milestone for Bear Head LNG as it removes a significant risk for the project,” said Bear Head president Maurice Brand.

The Bear Head project was the first and only proposed Canadian LNG export facility to receive both the Department of Energy authority and all initial regulatory approvals to start project construction.

In addition, the project’s approval in less than 12 months was the fastest non-FTA LNG export approval issued by the Department of Energy to date, since the initial non-FTA LNG export permit was issued.

The Bear Head project was being developed as an eight-million-tonne-a-year LNG export facility in Richmond county, in Nova Scotia, Canada, and had the potential to expand further.

“Bear Head is negotiating for gas supplies from Western and Central Canada, from offshore Nova Scotia, and from the abundant supplies available in the US. With the Department of Energy’s non-FTA export approval, we are able to continue forward on US gas production as the third leg of our gas supply portfolio," Brand said.