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Construction will go ahead, says Woodfibre LNG

After years of delays, Woodfibre LNG issues a Notice to Proceed to its construction contractor, McDermott International.
Woodfibre LNG
Rendering of Woodfibre LNG at build-out.

The $1.6-billion Woodfibre LNG project has declared that it will start major construction on its site in 2023, following years of deferrals.

WLNG said in a news release that it has issued a Notice to Proceed to its construction contractor, McDermott International.

This Notice to Proceed is an instruction from Woodfibre LNG to McDermott to begin the work required in order to move the project toward major construction commencement in 2023.

Woodfibre LNG expects to reach substantial completion in 2027.

“We have different terminology from other projects. While we don’t call it a [Final Investment Decision], this is similar in that it marks the go-ahead for construction,” said spokesperson Rebecca Scott in an email to The Squamish Chief. “Pre-construction starts this year, then major works in 2023. There will be  a gradual ramp-up to peak construction in 2025.”

Pre-construction refers to the $25-million site cleaning and preparation process, which has been ongoing to this point.

Since the company doesn’t use the term, ‘Final Investment Decision,' she said in the email, this will be the closest that Woodfibre LNG will come to declaring something of that nature.

A Final Investment Decision, or FID, is an industry term that generally denotes when a company decides to officially move forward with a project.

Woodfibre has been a contentious topic for years, with environmentalists calling it a step backwards in the face of a mounting climate emergency. However, the company has cast its product as a cleaner fossil fuel, which will replace dirtier forms of energy in its target market of Asia.

A related project, FortisBC’s Eagle Mountain pipeline, is expected to be constructed in tandem to supply the Squamish facility with natural gas.

The District of Squamish told The Squamish Chief it has no comment on this latest development.

Environmental group My Sea to Sky did not reply to a request for comment by an extended press deadline.

**Please note, that this story was updated after it was posted as new information came in.