AltaGas Ltd. has made a Final Investment Decision (FID on its Ridley Island Propane Export Terminal shortly after received approval from federal regulators. AltaGas has executed long-term agreements securing land tenure along with rail and marine infrastructure on Ridley Island, and will proceed with the construction, ownership and operation of the Ridley Export Terminal.
Construction on the estimated $475-million facility is expected to begin in early 2017 in compliance with the approval conditions and expects to be in service by the first quarter of 2019. The project will result in 200 to 250 construction jobs and about 40 to 50 permanent jobs. The terminal is designed to ship 1.2 million tonnes of propane per year, with the company supplying about half of the product itself and outsourcing the rest.
AltaGas has a definitive agreement to sell at least half of the propane exports from the Ridley Terminal to Japan-based Astomos Energy Corp., and is in discussions with several buyers on further capacity commitments.