Opening in May 2014, the plant
will play a key role in supplying low-cost, clean-burning LNG fuel
to Western Canada's high
horsepower industries.
CALGARY,
Alberta, April 24, 2014 /CNW/ - Ferus Natural Gas
Fuels, Inc. (Ferus NGF), a North American leader in LNG and CNG
fueling solutions, today announced it has completed the purchase of
Encana Corporation's 50 percent interest in the Elmworth,
Alberta 190,000-litre per day liquefied
natural gas ("LNG") production facility, retaining key Encana
technical and management personnel.
Phase one of the Elmworth LNG facility, which was constructed as
a 50/50 joint venture partnership between Ferus NGF and Encana,
will be operational in May 2014. It is strategically located in
close proximity to the active Alberta-BC Deep Basin oil and gas
region and will produce LNG fuel for use in drilling rigs, pressure
pumping services, and heavy-duty trucks. Other high horsepower
applications for this LNG supply include rail, mining, and remote
power generation.
"Our experience with LNG has demonstrated significant cost
savings and environmental benefits. Encana remains a key customer
of Ferus and has committed to a multi-year LNG supply agreement to
service our field operations," said David Hill,
Encana's Executive Vice President, Exploration & Business
Development. Selling our interest in the Plant allows us to focus
on our core business and the execution of our new strategy."
Richard
Brown, President and CEO of Ferus NGF said, "We are
pleased to continue working closely with Encana as we jointly lead
the adoption of LNG fuel by the western Canadian oil and gas
industry. In addition to Encana's commitment to using LNG fuel, we
are adding experienced Encana personnel to our team to ensure a
seamless transition and exceptional service to our customers in the
region."
As a result of this transaction, Ferus NGF is the 100 percent
owner/operator of the newest and largest merchant LNG plant in
Canada and has significant plans to
expand beyond that. Ferus NGF is focused on supplying domestically
produced LNG and CNG fuel, which provides cost savings and
environmental advantages to the oil and gas, trucking, mining,
rail, marine and remote power generation markets.
About Ferus Natural Gas Fuels
Ferus Natural Gas Fuels (Ferus NGF), formerly Ferus LNG, is
privately held by The Energy & Minerals Group. Ferus NGF
provides end-to-end LNG and compressed natural gas ("CNG") fueling
services including production, transportation, storage and delivery
to our customers in all end-use industries. Ferus NGF supplied the
first LNG fueled well fracturing job in North
America, is jointly building two LNG liquefaction
facilities with ENN Canada in Edmonton, AB,
and Vancouver,
BC, and is an equal partner in Eagle LNG Partners, a
consortium dedicated to building out LNG infrastructure across
the United
States. For more information, visit
www.ferus.com.
About The Energy & Minerals Group
EMG is the management company for a series of specialized
private equity funds. EMG focuses on investing across various
facets of the global natural resource industry including the
upstream and midstream segments of the energy complex. EMG has
approximately $13.3
billion of Regulatory Assets Under Management (RAUM)
and approximately $5.1 billion in commitments have been
allocated across the energy sector since inception. For additional
information on EMG, please contact Alexandra
Coolidge at 713-579-5029
Media Contact:
Blaire
Lancaster
Director, External Relations
403-695-3881
blairelancaster@ferus.com
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SOURCE Ferus Natural Gas Fuels, Inc.