Varcoe: Natural gas 'flying under the radar' but big growth is coming
Here’s an impressive list of projects to consider when evaluating Canada’s energy future: a new $13-billion data centre, two new LNG plants under construction and two more massive gas export terminals on the Pacific Coast waiting in the wings.
While boosting production from the oilsands dominates the spotlight in Canada’s energy industry these days, the prospects for natural gas increasingly seem ripe for improvement.
And it all starts with rising demand.
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“There is a wave of demand growth on the horizon. Obviously, for the past few years, that’s been led by LNG,” Ian Archer, an industry expert and associate director at S&P Global Energy, said Thursday.
“We do see the potential for a lot of data centres to possibly be centred in Alberta, and a lot of them will be fuelled, at least through the short term, with natural gas.”
Indeed, exports of liquefied natural gas (LNG) are climbing, but there are other areas of growth.
Two projects on the West Coast — Woodfibre LNG and Cedar LNG — are being built, while increased electrification and the build-out of massive data centres for AI development — including Meta’s $13-billion facility near Edmonton — are set to drive consumption higher.
“Everybody is bullish on oil. I think gas has been, to some degree, flying a little bit under the radar,” said Martin King with RBN........
