Ferus Natural Gas Fuels and ENN Canada announced a joint venture to build, own and operate two liquefied natural gas liquefaction plants in Canada.
The plants will be built in Vancouver, British Columbia, and Edmonton, Alberta, with capacity to produce 100,000 gallons a day, according to the companies.
Construction is expected to begin in May 2014, with production of LNG in early 2016.
“Lack of infrastructure is one of the major challenges associated with the development of the LNG fueling market,” Ferus CEO Dick Brown said in a statement.
“In order for our customers to make the switch to natural gas, they need certainty of an uninterrupted supply of LNG to fuel their equipment. These two LNG liquefaction plants, along with the specialized distribution equipment and planned retail fueling stations, will ensure that supply, which in turn will promote and facilitate the widespread usage of LNG in western Canada,” he said.
As part of the agreement, Ferus is responsible for the design, engineering, construction and operation, and ENN Canada is committed to purchase a significant amount of the LNG produced at these plants for its planned fueling stations.
ENN Canada said it plans to open five LNG stations, three in British Columbia and two in Ontario.
“These projects will help build the market for clean-burning natural gas as a transportation fuel,” Alberta’s Energy Minister, Ken Hughes, said in a statement.
