AltaGas poised to help save Douglas Channel LNG project

|About: AltaGas Ltd. (ATGFF)|By:, SA News Editor

AltaGas (ATGFF) could step in to help salvage a proposed natural gas export terminal planned for Canada’s west coast, as the project’s Texas-based owners seek to rescue the development from insolvency, FP reports.

P-E firm LNG Partners sought a court-sanctioned reorganization for the Douglas Channel LNG project in October after it effectively ran out of money; the owners now are poised to chop the venture in two as part of efforts to resolve a dispute with other investors in the project.

Under a proposed deal, AltaGas would head up a British Columbia project, while Haisla First Nation, a Douglas Channel joint venture, would develop a separate project with Golar LNG (GLNG, GMLP).

The original export license, awarded in 2012, gives the venture permission to export up to 1.8M metric tons/year of natural gas.