Phase one of the Elmworth LNG facility in Western Canada will be operational in May 2014. It is strategically located in close proximity to the active Alberta-BC Deep Basin oil and gas region and will produce LNG fuel for use in drilling rigs, pressure pumping services, and heavy-duty trucks. Other high horsepower applications for this LNG supply include rail, mining, and remote power generation.
The 190,000-litre per day LNG plant was constructed as a 50/50 joint venture partnership between Ferus Natural Gas Fuels and Encana, and as a result of this transaction Ferus NGF is the 100 percent owner/operator. Ferus NGF is focused on supplying domestically produced LNG and CNG fuel, which provides cost savings and environmental advantages to the oil and gas, trucking, mining, rail, marine and remote power generation markets.
“Our experience with LNG has demonstrated significant cost savings and environmental benefits. Encana remains a key customer of Ferus and has committed to a multi-year LNG supply agreement to service our field operations,” said David Hill, Encana’s Executive Vice President, Exploration and Business Development.
Richard Brown, President and CEO of Ferus NGF stated: “We are pleased to continue working closely with Encana as we jointly lead the adoption of LNG fuel by the western Canadian oil and gas industry. In addition to Encana’s commitment to using LNG, we are adding experienced Encana personnel to our team to ensure a seamless transition and exceptional service to our customers in the region.”
Source: Ferus Natural Gas Fuels