First LNG Shipment Delivered At Canaport Terminal

August 2009 Vol. 236 No. 8

The Canaport terminal in Canada received its first shipment of LNG in June, marking entry of Spain’s Repsol into the North American natural gas market.

The terminal is the first of its kind to be built on the east coast of North America in 30 years and the first ever to be built in Canada.

Regasified LNG from the Canaport LNG Terminal will flow through the 90-mile Brunswick pipeline connecting the terminal to the existing Maritimes & Northeast Pipeline at the Canada/U.S. border. All of the capacity on the pipeline is subscribed by Respol.

The new terminal will provide supplies of natural gas to homes, businesses and industry in Canada and the northeast U.S. In Canada, working with Irving Oil, Repsol has supply contracts with a number of other gas sources that will complement the operations at the Canaport LNG Terminal, located in Saint John, New Brunswick, and ensure that their clients have access to competitively priced and reliable natural gas supplies delivered under flexible contractual arrangements.

The Canaport terminal is one of Repsol’s 10 key growth projects outlined in its 2008-2012 Strategic Plan. Repsol is also participating in the construction of an LNG liquefaction plant in Peru, where the company will purchase 100% of the LNG produced beginning in 2010.

Repsol holds a 75% ownership stake in Canaport LNG and Irving Oil holds 25%.