LNG plant and geothermal exploration approved for B.C. First Nation

Two initiatives approved this week could start supplying cleaner energy tonorthern communities by next year in the form of LNG and, potentially, electricity generated from the earth'sown heat.

GasNorth Energy Ltd. announced Jan. 28 it hasreceived approval from the B.C. Oil and Gas Commissionto install anatural gas liquefaction facility in an equity partnership with the Fort Nelson First Nation.

Fort Nelson First Nation Chief Sharleen Gale said the LNGproduced there will ship by tanker truck to northern communities where "people are running on diesel power generators and other things that aren't very good for the environment. "

On the same day as the LNGapproval, the B.C. government announced a permitfor a second project by the Fort Nelson First Nation to explore the potential tore-purposeold natural gas fields for geothermal electricity generation.

If geothermal generation canbe proven to workin the area, Gale said its usescould extend to usingwaste energy toimprovefood security.

Geothermal-heated greenhouses

"We'll be able to create greenhouses that we'd be able to operate all year round, so we could grow lettuce. We could grow strawberries," Gale told Daybreak Northhost Carolina de Rykin an interview.

"Anything that you would particularly see in the grocery store, [we]would be able to grow," she said.

Geothermal energy production in Fort Nelson, if it works, is not projected to start before 2024.

However, the LNGplant is expected to start shipping by 2021 with an initial output of 50,000 gallons per day, according to the GasNorthnews release.

It said the initial 50,000 gallon output, destined for markets in the Yukon and Northwest Territorieswill increase as the market develops.

"This will help position Fort Nelson as anenergy supplier to the North, making use of local resources to create local jobs," GasNorthpresident Bob Fedderly saidin the statement.

Gale said theLNG projectis particularly welcome in her community, whichhas seen economic decline and scarce employment opportunitiesin recent years and also faces rising energy costs.

"It can create local employment and training opportunitiesbut also offers an economical clean energy solution to northern communities, while making use of the resources captured from our territory," she said.

Cleaner than diesel

In response to concerns about developing LNGinstead of moving away from fossil fuels altogether,Gale said it will allow many northern communities to reduce reliance on dirtier diesel fuel.

Fort Nelson is not connected to B.C.'s electricity grid, so LNG could also replace the community's power that is currently generated from fossil fuels or imported from Alberta.

"I know that it's a cleaner fuel to burn and I think it will be in line with the province's way forward to reduce emissions," Gale said.

With files from Daybreak North