Canadian premier pans plan for LNG New Brunswick’s Lord says waters are international

ST. STEPHEN, New Brunswick – The province’s highest-ranking official, Premier Bernard Lord, on Tuesday strongly denounced proposed liquefied natural gas projects along the nearby Maine coast.

Lord was in this border community to meet with members of the local Chamber of Commerce.

Lord said he believed the Canadian federal government could block the projects. “This is an issue of international waters. This is an issue of international relations,” he said.

Thirty years ago, Lord said, Canada said no to a proposed $600 million oil refinery in Eastport by refusing to allow tankers to pass through its waters. Though the plan by the Pittston Oil Co. dragged on for most of the 1970s, it eventually was scrapped.

“The same way they said no 30 years ago, the federal government can say no today,” he said.

It was St. Stephen businessman David Ganong who asked Lord about his position on LNG. Plans are under way in Maine’s Washington County to build two LNG terminals in Passamaquoddy Bay, across from New Brunswick.

Ganong said he had attended an information session in St. Andrews on Monday night and learned a lot about the projects from opponents. Ganong, along with more than 1,000 people, attended what had been billed as an information meeting but later turned into an anti-LNG rally.

“As a businessperson I find it very difficult to say don’t build industry that is good,” Ganong said. “But it seems to me building it 40 miles south would be good, and it avoids the terrific risks that are associated with what is taking place.”

Right now there are two plans to build LNG terminals within what has been called by opponents a “stone’s throw” from Canadian shores. Oklahoma-based Quoddy Bay LLC wants to position its facilities at two Maine locations, Pleasant Point and Robbinston.

An 8-mile underwater pipeline would connect the terminal at Pleasant Point with the Robbinston storage tanks.

Washington, D.C.-based Downeast LNG, wants to build a $400 million facility in Robbinston.

“Our position is very clear,” the premier said. “This is not a place for an LNG terminal. We are not opposed to LNG terminals; we are opposed to this one being at this location [Passamaquoddy Bay].”

Contacted Tuesday night, both developers said they would welcome an opportunity to speak with the premier directly to talk about their respective projects.

“I am surprised the premier would come to any conclusion without investigating the details of any proposed facilities,” said Brian Smith, Quoddy Bay project manager. “He has not requested details of our facility, including ship traffic and ship routes. I feel he has come to his conclusion based partly on misinformation, and I would welcome the opportunity to meet personally with the premier to give him factual details of our proposal.”

Downeast LNG president Dean Girdis said he believed it was important that his company be given an opportunity to complete its analysis before any pronouncements are made.

“My general response is it’s unfortunate that groups – and this is in general and not specific to his comment – are drawing conclusions when the project hasn’t been fully defined and not all of the information is available to make an objective decision,” Girdis said. “We still need to do a lot more work on the development of the project, and a lot of studies need to be done on the environment and the engineering. And I think it is difficult to draw an objective opinion until the information is available.”

Lord said his government did not oppose the Irving Oil Corp.’s efforts to build an LNG terminal in an industrial area near Saint John, New Brunswick, located about 60 miles east of the proposed Maine projects. “Saint John … is a great location, it’s a smart location for an LNG terminal. This is not a smart location for an LNG terminal,” he said. “The concerns that are raised with the Head Harbour passage are real and significant.”

The proposals call for huge tankers loaded with LNG from foreign ports to sail into Canadian waters past Head Harbour passage near Campobello Island and follow a dogleg course to the terminals in the United States.

Lord said his government was supportive of the efforts of communities that are fighting to keep LNG out. “I am attending a meeting this weekend of the New England governors and eastern Canadian premiers. I suspect that Governor [John] Baldacci will be there, and if he is there I will raise this issue with him directly,” Lord said.

LNG has been a hot topic for months, and it certainly was Monday night. Several of Lord’s ministers were at the St. Andrews meeting.

LNG opponent Art MacKay told the more than 1,000 people Monday night that LNG would destroy the tourism and fishing industries. He questioned losing more than 6,000 jobs and millions of dollars in income for two terminals that between them would employ fewer than 200 people.

But it was St. Andrews Mayor John Craig who turned the information meeting into a rally when he stood up and said, “Tonight we say no to all proposals on our bay from all sides of Passamaquoddy Bay. No means no,” he said several times. Soon the crowd was chanting, “No means no,” with him.