The Ministère de l’Énergie et des Ressources naturelles (MERN) and the Société du Plan Nord (SPN) launched a call for proposals on Aug. 16 to identify a supplier able to provide liquefied natural gas (LNG) to the Côte-Nord region.
The call for proposals was announced in Québec’s 2018-2019 Economic Plan and is the first step in a process designed to supply LNG to large manufacturing companies, mining companies, ship owners and maritime transportation companies in the Côte-Nord region. Access to stable supplies of LNG at a competitive price, along with the creation of an effective logistics chain for distribution purposes, will help promote economic development in the region.
“The business opportunity launched today by the MERN and the SPN is innovative and is part of a sustainable development process,” said Pierre Moreau, Minister of Energy and Natural Resources and Minister Responsible for the Plan Nord. “Conversion of industrial facilities to natural gas and greater use of natural gas in the rail and maritime transportation sectors will help the Québec Government to achieve its ambitious greenhouse gas reduction targets between now and 2030.”
The availability of natural gas will also allow companies to become more competitive, and will serve as an incentive to attract new industrial projects. The result will be an increase in the quantity of LNG consumed and a faster return for the supplier. In addition, the availability of natural gas should gradually reduce the use of more pollutant petroleum products such as heavy and light fuel oil. The financial benefits for major consumers of non-renewable energy should also be significant, in particular for companies subject to Québec’s cap-and-trade system for greenhouse gas emissions (SPEDE).
Interested promoters have until Oct. 15, to present a detailed offer based on the requirements set out in the call for proposals.
Several stakeholders in the Côte-Nord region have expressed a common desire for access to natural gas. The pelletization plant in Port-Cartier is currently involved in a pilot project to convert part of its production process and some of its plant activities to liquefied natural gas.
Côte-Nord stakeholders have joined together to form the Plein Gaz au Nord coalition whose main purpose is to study, document and inform the Government of the importance of natural gas for the region, and the related issues.
Follow this link for complete details on the call for proposals.