Malaysia’s Petronas reiterated its intention to proceed with its $36-billion Canadian natural gas project amid volatility in the energy market, the state-owned company said in an emailed statement to Bloomberg.

Petronas committed to Canada LNG project

Canada

KUALA LUMPUR, October 9, 2015 – Malaysia’s Petronas reiterated its intention to proceed with its $36-billion Canadian natural gas project amid volatility in the energy market, the state-owned company said in an emailed statement to Bloomberg.

Petronas reassured its Canadian partners about going ahead with its planned LNG shipping terminal to be built in near the port city of Prince Rupert. The proposed terminal is part of the larger project comprising a natural gas pipeline and ongoing gas development.

The company is currently awaiting approval from the Canadian Environmental Assessment Agency before proceeding with the project.

With low LNG prices and an oversupply of the product in the global market, analysts remain doubtful that export projects in countries new to the LNG market, such as Canada, would be lucrative.

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