PORT HAWKESBURY, N.S. – The proponent behind a liquified natural gas project in Guysborough Co. says they’re talking to government officials about funding.
Alfred Sorensen, the president and CEO of Pieridae Energy Ltd., says Covid-19 had a serious impact on financing in the oil and gas industry, and that’s affected their proposed Goldboro LNG export facility.
Sorensen says they’re in conversations with both federal and provincial officials on spending for the project.
“I would have said a year ago we expected it all to be private,” he says. “It’s really more a reaction to how the current investment climate has changed because of Covid.”
Premier Iain Rankin has said he supports the project, but province officials won’t offer any funding.
Sorensen says Covid-19 has impacted the project’s timeline as well.
He says both issues stem heavily from tumbling oil and gas prices early in the pandemic.
“Things are slowly coming to recovery, and we’re seeing significantly more interest in energy investing- (we’re) hoping that that will allow for an on-time decision,” he says. “A lot will depend on how our finance initiatives are working out, and on our final construction price that we’re currently negotiating.”
Sorensen says it’s about a 50/50 chance they’ll be able to make a final investment decision on if the facility will go forward by the end of June.
Jack Morse is a reporter with 101.5 The Hawk in Port Hawkesbury, a Huddle content partner.