Petro-Canada eyes Gulf for LNG plant

Gary Park

Petro-Canada’s eagerness to take a role in the liquefied natural gas business could take it to the U.S. Gulf of Mexico.

Already involved with TransCanada in plans for a US$520 million terminal in Quebec that could see Russia’s Gazprom become a supply source, Petro-Canada is now eying a similar project for the Gulf.

Chief Executive Officer Ron Brenneman told a conference call Nov. 4 that talks are already under way to open up a second route for the Canadian integrated oil company into the U.S. market.

However, he said the Quebec terminal is more economically appealing than a Gulf of Mexico site for Gazprom, offering a cheaper route to North America.

Petro-Canada confirmed in October that it has signed a memorandum of understanding with Gazprom to study the construction of a terminal and liquefaction plant in the Leningrad region.