FortisBC Tilbury LNG expansion creating jobs and benefiting local communities

More than $60 million in committed local spending and significant employment benefits across the region

RICHMOND, BC, June 13, 2016 /CNW/ - Aboriginal and local businesses and trade workers located across Metro Vancouver communities are reaping the benefits from a $400 million expansion of the FortisBC Tilbury LNG project in Delta, according to data released today by FortisBC at the BC Economic Development Association Summit in Richmond, B.C. 

Since construction on the Tilbury LNG expansion began in October 2014, the project has generated $60 million in local contractor spending.  More than 300 workers are currently working on the construction project including 60 apprentices ranging from cement masons, iron workers, scaffolders and pipefitters. In addition, 870 tradespeople are registered to work on the project.

"At FortisBC, we're committed to providing job and business opportunities for local and Aboriginal workers and companies on our major projects," said Michael Mulcahy, President & CEO of FortisBC. "The expansion of the Tilbury LNG facility will result in increased LNG supply for our industrial users and remote communities, while bringing economic development and new jobs to B.C."

Through FortisBC's contract with Tsawwassen First Nation (TFN) Construction/Matcon Civil Joint Venture (TMJV) for civil construction and environmental services, TMJV has also provided 25 employment and training programs and more than 625 hours of training to workers in conjunction with the project, including a work experience program to prepare young workers for jobs in the LNG industry. This is in addition to a FortisBC-funded eight week Pre-Apprenticeship Training program developed and delivered by Aboriginal Skills 3G:BC.

"We are very proud of our work on FortisBC's Tilbury LNG expansion project and our long-standing business partnership with Tsawwassen First Nation Construction," said Ron Amos, President, Matcon Civil Constructors Inc. "The project provided us with an important opportunity to showcase not only our expertise in civil construction, but also our unparalleled commitments to employee development, engagement with First Nation communities and individuals, and external relationship management."

To date, more than 140 locally owned businesses have been contracted to work on the project from across 10 Metro Vancouver communities.

"FortisBC has earned the reputation of being a great corporate citizen in our community," said Mayor Lois E. Jackson. "This Fortis LNG plant has had an excellent safety track record since 1971 and has continued to positively contribute to our local economy by creating well-paying job opportunities for Delta and B.C. residents and businesses.  Congratulations FortisBC and thank you!"

For companies like Delta-based Chemposite, the Tilbury expansion project has given the fiberglass equipment company an opportunity to work in their own backyard, putting 25 of their staff to work, as well as several local suppliers. 

"Participating in the Tilbury LNG expansion project has allowed us to contribute to and benefit from the local economic impact of the plant upgrade," said Irina Balzankina, Sales Marketing Executive, Chemposite Inc.

FortisBC operates the only two LNG facilities in British Columbia. The Tilbury LNG facility has been safely storing natural gas at its facility in Delta since 1971. The Mt. Hayes facility on Vancouver Island was commissioned in 2011. The $400-million expansion includes construction of a new LNG storage tank, additional liquefaction and LNG truck loading equipment. FortisBC expects the expanded facility will be operational by late 2016 or early 2017.

"FortisBC's investments are helping our energy sector grow and compete both domestically and globally," said Minister of Natural Gas Development Rich Coleman. "The benefits of the Tilbury LNG expansion are significant, supporting local contract work today and opening the doorway to a stronger economic future tomorrow."

"FortisBC has been an important part of the community here in Delta for 45 years, and the expansion of the Tilbury LNG facility is creating great opportunities for contractors and tradespeople in our region," said Scott Hamilton, MLA for Delta North.

A further expansion at the Tilbury LNG facility would be required if a recently announced agreement to supply 800,000 metric tonnes of LNG annually to Hawaiian Electric moves forward.  Pending finalization of the agreement and regulatory approvals in B.C. and Hawai'i, Fortis would construct additional liquefaction equipment and a new LNG storage tank at the Tilbury facility. 

Quick facts about the current Tilbury LNG facility expansion:

• The original facility was built in 1971 and originally was used to supplement the Lower Mainland gas supply during periods of peak demand such as the coldest winter days.
• FortisBC began providing LNG as a fuel for use in remote communities in 1997 and as a transportation fuel in 2009.
• The current Tilbury facility can liquefy 5,000 gigajoules (GJ) of natural gas per day and has a storage capacity of 600,000 GJ. The expanded facility will be able to liquefy an additional 34,000 GJ of natural gas per day and will add 1.1 million gigajoules of additional storage capacity.
• Heavy duty customers such as Vedder Transport Ltd., Arrow Transportation Systems Inc. and Denwill Enterprises Inc. acquire LNG from the existing Tilbury LNG facility.
• Liquefying natural gas has made it possible to truck it to remote communities without needing to build new gas pipelines. Inuvik in the Northwest Territories and Whitehorse in the Yukon are replacing diesel with LNG transported from Tilbury.
• BC Ferries and Seaspan have signed long-term supply agreements to fuel their new LNG vessels with LNG from Tilbury. Teck Resources Ltd. Is currently piloting the use of Tilbury LNG as a fuel source for mine haul trucks.

FortisBC is a regulated utility focused on providing safe and reliable energy, including natural gas, electricity and propane. FortisBC employs more than 2,200 British Columbians and serves approximately 1.1 million customers in 135 B.C. communities. FortisBC owns and operates two liquefied natural gas storage facilities and four regulated hydroelectric generating plants, approximately 7,150 kilometres of transmission and distribution power lines, and approximately 46,000 kilometres of natural gas transmission and distribution pipelines. FortisBC Inc. and FortisBC Energy Inc. do business as FortisBC. FortisBC is indirectly, wholly owned by Fortis Inc., a leader in the North American electric and gas utility business. Fortis Inc. shares are listed on the Toronto Stock Exchange and trade under the symbol FTS. Additional information can be accessed at fortisinc.com or sedar.com.

Media Notes: An infographic, high resolution images and video footage of the expansion project are available at: Talkingenergy.ca/tilburylngexpansion

SOURCE FortisBC

MEDIA CONTACT: Karen Zukas, FortisBC, Phone: 1-855-FBC-NEWS, Email: [email protected]