PROJECT AGREEMENT FOR THE PRINCE RUPERT LNG FACILITY IN BRITISH COLUMBIA

PREAMBLE

The Canadian Environmental Assessment Agency (CEA Agency) has commenced an environmental assessment (EA) pursuant to the Canadian Environmental Assessment Act, 2012 (CEAA 2012) for Prince Rupert LNG Limited's (the Proponent) Prince Rupert LNG Terminal (the Project).

The Proponent proposes to develop a Liquefied Natural Gas (LNG) facility on Ridley Island at the Port of Prince Rupert in British Columbia. The proposed project includes the construction of a natural gas liquefaction plant and associated port and infrastructure facilities to export natural gas to international markets. The LNG facility would be developed in two phases, reaching a nominal capacity of up to 21 million tonnes per annum.

The CEA Agency and the British Columbia Environmental Assessment Office have agreed to coordinate the federal and provincial EAs to the extent possible pursuant to the Canada-British Columbia Agreement for Environmental Assessment Cooperation (2004).

Nothing in this Project Agreement (the Agreement) fetters the powers, statutory authorities and functions of federal departments/agencies and their respective Ministers.

The signatories to this Agreement (the Parties) commit to work together to facilitate an effective, accountable, transparent, timely and predictable federal review in relation to the proposed project and to contribute to fulfilling the Crown's duty to consult Aboriginal groups.

1.0 PURPOSE

The purpose of this document is to provide detailed information pertaining to the federal review process where the CEA Agency is the responsible authority during the EA. For further information regarding the federal review process, please refer toThe Federal Review Process for Major Projects: Project Agreement Companion Document (PDF, 144 KB).

2.0 ROLES AND RESPONSIBILITIES

The following federal departments and agencies have identified an interest in the Project, and will participate in the federal review:

  • Responsible authority: The CEA Agency will ensure that an EA is conducted, an EA Report is prepared and an EA Decision Statement is issued;
  • Federal authorities (FAs): Fisheries and Oceans Canada (DFO), Transport Canada (TC), Environment Canada (EC), Prince Rupert Port Authority (PRPA), Health Canada (HC), and Natural Resources Canada (NRCan) may be in possession of specialist or expert information or knowledge with respect to the Project;
  • Regulatory departments and agencies: DFO, TC, EC and the PRPA have regulatory and statutory duties in relation to the Project;
  • Aboriginal Affairs and Northern Development Canada has advisory responsibilities in relation to the Project to support consistency with the Government of Canada's Whole of Government approach to Aboriginal consultation activities; and,
  • The Major Projects Management Office will provide oversight and advice throughout the entire federal review in relation to the Project to ensure adherence to the service standards and roles and responsibilities of all Parties as described in the Agreement and the Companion Document.

3.0 Aboriginal Consultation

The Parties are committed to a Whole of Government approach to Aboriginal consultation that is integrated with the EA and regulatory process, to the extent possible. For more information on the Whole of Government approach, including roles and responsibilities of departments and agencies, as well as coordination during the project review, please refer to Annex I of the Companion Document.

Where applicable, the terms and conditions of all existing agreements or protocols and/or MOUs between the Crown and Aboriginal groups will be respected.

4.0 TIMELINES

Timelines identified in the Agreement represent the time expected to be taken by federal departments and agencies in carrying out their respective tasks. The timelines do not account for time taken by the Proponent to collect information or undertake a study at the request of the CEA Agency during the EA or regulatory departments during the regulatory phase. The target timelines for the federal review are as follows:

a) Completion of the EA, as per CEAA 2012 – 365 days from the posting of the Notice of Commencement on the Canadian Environmental Assessment Registry Internet Site (CEARIS) to the Minister of the Environment's (the Minister) EA Decision Statement about whether the project is likely to cause significant adverse environmental effects.

b) Regulatory decisions pursuant to the Fisheries Act – 90 days from receipt of a complete application assuming the Minister's EA Decision Statement has been posted on the CEARIS and no additional consultation is required.

c) Regulatory decisions pursuant to the Navigable Waters Protection Act, Canada Marine Act, and the Canadian Environmental Protection Act – 90 days from the Minister's EA Decision Statement posted on the CEARIS, assuming submission of all applications no later than the time of the submission of the Environmental Impact Statement (EIS).

5.0 SIGNATORIES

The Parties hereto have signed the Agreement, in counterpart, on the dates indicated below.

Annex I

Key Milestones and Service Standards for the Environmental
Assessment and Aboriginal Consultation

  Milestone Lead Support As Needed Timeline/ Completion Date
1 Post the Notice of Commencement on the CEARIS CEA Agency FAs June 21, 2013
2 Public and Aboriginal group comment period on the draft EIS Guidelines CEA Agency FAs June 21, 2013 to July 21, 2013
3 Finalize the EIS Guidelines and provide to the Proponent CEA Agency FAs August 20, 2013
4 Submit the EIS and EIS Summary Proponent CEA Agency, FAs To be determined by the Proponent
5 Review of the EIS to ensure the requirements of the EIS Guidelines are met CEA Agency FAs Day 61-90 (30 Days)
6 Public and Aboriginal group comment period on the EIS summary CEA Agency FAs Day 91-120 (30 Days)
7 Federal review and provision of comments on the EIS to the Proponent CEA Agency FAs Day 91-135 (45 Days)
8 Submit revised EIS or additional information, as appropriate Proponent CEA Agency, FAs To be determined by the Proponent
9 Review the revised EIS or additional information, as appropriate CEA Agency FAs Day 136-155 (20 Days)
10 Prepare the draft Environmental Assessment Report (EAR) CEA Agency FAs Day 156-185 (30 Days)
11 Federal review and provision of comments on the draft EAR to the CEA Agency FAs   Day 186-215 (30 Days)
12 Public and Aboriginal group comment period on the draft EAR CEA Agency FAs Day 186-215 (30 Days)
13 Finalize the EAR and submit to the Minister CEA Agency FAs Day 216-305 (90 Days)
14 Issue the EA Decision Statement Minister CEA Agency Day 306-365 (60 Days)
15 Post the Minister’s EA Decision Statement on the CEARIS CEA Agency   Day 366-372 (7 Days)

Annex II

Gantt Chart: Target Timelines for the EAFootnote 1

A Gantt chart that is a visual representation of the milestones and timelines in Annex I.

[Larger image - Gantt Chart: Target Timelines for the EA]

Gantt Chart: Target Timelines for the Regulatory PhaseFootnote 2

A Gantt chart that is a visual representation of the regulatory milestones and service standards in Annex III of the Companion Document for the regulatory departments listed in section 2.0.

[Larger image - Gantt Chart: Target Timelines for the Regulatory Phase]