HALIFAX -- H-Energy will proceed with a feasibility study for a LNG export project after evaluating several sites in North America, the company said on Thursday.
To that end, H-Energy has signed an option agreement on two 300-acre parcels of land adjoining seashore in Melford, Nova Scotia.
Promoter and managing director Darshan Hiranandani of H-Energy has been working closely with Nova Scotia Business Inc. and met with Nova Scotia's Premier Darrell Dexter to discuss the H-Energy Project.
"Nova Scotia, Canada offers access to North American natural gas through the Maritimes and NorthEast Pipeline, and large parcels of heavy industrial land adjacent to deep water ports that provide an ideal location for these types of facilities," said Mr. Hiranandani.
"We are in the early stages of this opportunity and we continue to work closely with Canada's province of Nova Scotia to explore setting up a world class LNG export project," he said. "Mr. Hiranandani also added that North America has an abundant and cost competitive natural gas supply that can play a key role in satisfying international demand for energy."
H-Energy would target markets in Asia, Europe and Latin America, according to the company.
The project would be constructed in three phases, with the first liquefaction train of 4.5 MMtpa at an estimated cost of $3.18 billion coming online in 2020. The company is in the process of setting up a base in Nova Scotia to manage the opportunity.
This also provides Indian LNG buyers an opportunity have a back-to-back arrangement, as H-Energy is in the process of developing two LNG regasification terminals in India, the company noted.
H-Energy is owned by India's Hiranandani Group.