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Resource World - June-July 2018 - Vol 16 Issue 4

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J U N E / J U L Y 2 0 1 8 www.resourceworld.com 57 More crucial, perhaps, are concerns about whether or not the JVPs can obtain federal anti-dumping duties exemption on materials from outside Canada, likely China, to be used in con - struction, expected by year's end, likely to total nearly 46%, and a tariff relief decision expected in September. The BC govern- ment has already promised a break on carbon taxes with a cap set at $30 while others will pay up to $50 a tonne by 2021, and an exemption on provincial sales taxes related to construction costs, the latter to mean a $6-billion rebate for the joint venture. "To deliver a cost-competitive project for our JVP's con - siderations, the exemption of FISC (fabricated industrial steel components) anti-dumping and countervailing duties is extremely important," said Pierce, noting that the large steel modules needed for LNG plants have never been built in Canada. "We are confident that the case we presented is a strong one, and that large complex modules cannot be constructed in Canada at this time." The status of pipeline projects is always in doubt. Other proj- ects such as the Keystone XL and Energy East pipelines, and the governments that originally supported them, bowed to the weight of the public, environmentalists and First Nations opposition, but TransCanada president and CEO Russ Girling has said that his company's success has rested with its determination to have "open and meaningful discussions" with aboriginal groups, area residents, and governments at all levels, provincial and federal. However, their Northern Gateway Project was cancelled after such efforts failed. While they await the FID mystery and some other unknowns, LNG Canada is conducting some site preparation and marine work that is seasonal to ensure the project is ready to go if the FID is positive later this year. They are also working on the Decision Support Packages for that decision, and to continue to work closely with the community and First Nations, who have demon - strated strong support for the project. "LNG Canada will represent the largest energy investment project in the history of Canada," Pierce said. "It will also operate with the lowest GHG emission intensity of any large LNG export plant currently in operation anywhere in the world. "Our proj - ect has received unprecedented support from the community and from First Nations and we look forward to being in a position to share value with the community as we move forward." There is a Unist'ot'en protest encampment south of Smithers in the path of the proposed pipeline, to be operated by Coastal GasLink, that is in the traditional territory of the Wet'suwet'en First Nation. Just at press time, state-owned Malaysian energy company Petronas, already a major natural gas explorer in northeast BC, announced that it is buying a 25% interest in LNG Canada. n

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