SAFETY
FIRST
Facts about
liquefied natural
gas and LNG
facilities
The safety of the local community, where our team
members and their families also live, is our top priority.
We are committed to developing and operating
our proposed Malahat LNG facility in a way that
prioritizes the health, safety and well-being of the
local community and environment.
The LNG export industry has been in operation
for more than 60 years, and LNG has been safely
produced and used in British Columbia for more
than 40 years. We understand Aboriginal groups and
community members have questions and we want
to make sure you have the facts about LNG and our
proposed Malahat LNG facility.
Natural gas
Liquefied natural gas
Natural gas is the cleanest-burning fossil fuel in the world
and is used for many purposes, including cooking food,
powering furnaces and hot water heaters, and as a lowemissions fuel for vehicles.
LNG is the same natural gas Canadians use in their
homes and businesses, but with two differences: it’s a
liquid and it’s cold.
Today about one-third of Canada’s entire energy needs
are met by natural gas.
Western Canada has more natural gas than Canadians
can use. BC and Alberta have enough natural gas to
meet local needs and help countries that are dependent
on dirtier fuels such as coal, oil and diesel switch to
cleaner burning natural gas.
Natural gas produces about 50% fewer CO2 emissions
compared to coal and 30% fewer than oil1. China is set to
double the use of natural gas by 2020 to displace coal2.
Coal-fired power plants produce 161% more emissions
over their lifecycle than natural gas-fired power plants.
Even the cleanest coal plant produces 73% more in
emissions over the long term than natural gas3.
We cool natural gas into a liquid to make it safe to store
and transport in large quantities between places that
don’t have pipeline systems.
Cooling natural gas into a liquid shrinks the volume by
600 times – that’s like fitting the volume of a beach ball
into a ping-pong ball.
LNG is stored at atmospheric pressure, like water in
a swimming pool – rather than under pressure, like a
propane tank.
LNG is odourless, non-toxic, non-flammable, noncorrosive and non-explosive. In the unlikely event it’s
spilled in an open environment, LNG quickly dissipates
into the air, leaving no residue on water or soil.
http://lnginbc.gov.bc.ca/tile/lng-did-you-know/
https://www.eia.gov/environment/emissions/co2_vol_mass.cfm
3
http://www.lngfacts.org/resources/CLNG-PACE_Study_one-pager.pdf
1
2
BC FERRIES AND LNG
BC Ferries has commissioned
three passenger ferries that will
be fueled by LNG. Converting
to natural gas will result in an
annual reduction of CO2 emissions
equivalent to taking 1,900
passenger vehicles off the road5.
Safety risks associated with spills
are greatly reduced because LNG
dissipates into the atmosphere
almost immediately.
DID YOU KNOW?
BC’s transportation industry is responsible for the majority of
provincial greenhouse gas (GHG) emissions and is looking to
use natural gas as a cleaner fuel source.
That’s because natural gas vehicles produce 25% fewer GHG
emissions compared to diesel or gasoline4. They also emit
virtually no particulate matter – the harmful component of
air pollution that affects how people breathe.
The Salish Orca (BC Ferries)
Fighting climate change
is a global priority
DID YOU KNOW?
Canadian natural gas
can help cut global GHG
emissions. LNG is already
being used as a cleaner
alternative fuel source to
diesel in remote communities
in the Yukon and Northwest
Territories. By transporting
LNG abroad, we can help
countries in Asia to transition
away from using dirtier fossil
fuels like low-quality coal
and oil.
Western Canada has one of the largest, low-carbon natural gas
reserves in the world. British Columbians also have access to
hydroelectricity, which is up to 97% renewable. But around the world
– and especially in Asia – countries rely on low-quality coal and oil to
generate power for their growing economies and populations.
Burning coal releases roughly 400 times as many micro-particulates
into the air, which is the cause of millions of air-quality-related
deaths, and impacts us here on the West Coast of Canada.
Air pollution research led by researchers at the University of British
Columbia and the Health Effects Institute found that in 2013 air
pollution caused 1.6 million premature deaths in China and 1.4
million premature deaths in India. Based on China’s current targets
to restrict coal combustion and emissions, the study found that air
pollution will cause anywhere from 990,000 to 1.3 million premature
deaths in 2030. This statistic highlights a need to be more ambitious
with reduction targets6.
LNG is seen as a transitional power source that can greatly improve
global air quality, which is good for everyone.
http://www.gowithnaturalgas.ca/whynatural-gas/environmental-benefits
4
http://www.bcferries.com/about/
intermediatevessel.html
5
http://news.ubc.ca/2016/02/12/poor-airquality-kills-5-5-million-worldwide-annually/
6
Myths and Misconceptions
about Liquefied Natural
Gas and LNG Facilities
MYTH: LNG is explosive
REALITY
In its cold liquid form at minus 162 degrees Celsius, LNG isn’t
flammable nor is it explosive. That’s because it doesn’t contain
oxygen, which is required for both of those reactions to occur.
LNG is also stored at atmospheric pressure, like water in a
swimming pool, rather than under pressure, like a propane tank
for a barbeque.
If LNG were to come in contact with the air, it would start to
return to its natural gaseous state. Since natural gas is less dense
than air, it would rise and dissipate into the atmosphere.
For an explosion to occur with natural gas, several things would
have to happen at the same time: natural gas would have to
be contained in a confined space; the ratio between gas and
air must be within a very specific range (5% to 15%); and, there
must be an ignition source present. These are conditions that
LNG carriers, which have one of the best safety records in the
shipping industry, are designed to avoid.
DID YOU KNOW?
Energy content is not the most
influential factor in terms of
explosive content. It’s the rate at
which the energy is released that
matters. For example, a cord of
dry wood carried in the back of a
pickup truck has roughly the same
energy content as 18,000 sticks
of dynamite. We aren’t worried
about wood because it’s not very
powerful (taking a long time to
burn and release its energy) and it
needs an intense ignition source.
LNG has an energy content that
is roughly twice that of wood.
However, nothing can happen
while LNG is maintained as a liquid
because the specific conditions
needed for combustion aren’t
present. In other words, when
stored as a liquid, at atmospheric
pressure, the energy contained in
LNG cannot be released.
MYTH: LNG carriers are dangerous
for other marine vessels
REALITY
There are strict regulations for LNG carriers and other large vessels. Below are some
examples of what we’ll be doing to ensure the safety of our shipping operations:
8-12
12
8-12
TS
Tug boat escort:
When an LNG carrier enters the Juan de
Fuca Strait, near Victoria, it will be boarded
by two professional BC Coast Pilots with
expert knowledge of the BC coastline. They
will ensure safe navigation to and from the
proposed Malahat LNG facility.
LNG carriers would be escorted by tug
boats, which act as a dynamic safety
awareness zone around the LNG carrier
and assist the LNG carrier with berthing
operations. Typically, there would be at
least three escort tugs with one tethered
to the LNG carrier at all times once
diverted from the international shipping
lanes*. This would ensure control of the
LNG carrier is maintained in the unlikely
event of a loss of power. Tugs can also
be used to notify marine users of an
LNG carrier coming in or departing the
proposed Malahat LNG facility.
Reduced vessel speeds:
12
OTS
BC Coast Pilots:
KNOTS
KNOTS
8-12
8-12
LNG carriers would slow their speed to 8 to
KNOTS
KNOTS
12 knots* when travelling to and from the
international shipping lanes. Travelling at
low speeds allows time for other marine
users to move out of the way and is a further
precaution for safe navigation.
8-12
KNOTS
*Subject to completion of the TERMPOL Review Process.
DID YOU KNOW?
Steelhead LNG will be voluntarily
participating in the TERMPOL
Review Process. It’s a Transport
Canada process that examines
the safety of LNG carriers entering
Canadian waters, including
navigating through channels,
vessel speeds and berthing at the
proposed Malahat LNG facility.
MYTH: The Saanich Inlet is too narrow
or too shallow for LNG carriers
REALITY
The Saanich Inlet is not defined as a narrow
waterway by international maritime regulations.
These regulations ensure that LNG carriers and
other vessels can be safely accommodated, and
are based on the width of the ship’s beam. That’s
the width of the ship at its widest point on the
waterline.
According to the Society of International Gas
Tanker + Terminal Operators (SIGTTO), of which
Steelhead LNG is an associate member, a narrow
one-way channel is five times a vessel’s beam
and is seven times the beam width for two-way
vessel traffic7. Transport Canada’s TERMPOL review
process defines a narrow one-way channel as less
than four times a vessel’s beam and seven times
the beam width for two-way traffic8.
7
http://www.sigtto.org/
8
https://www.tc.gc.ca/media/documents/marinesafety/tp743e.pdf
LNG carriers are typically 50 metres wide,
which means that a narrow channel would be
approximately 250 metres wide for one-way
vessel traffic and approximately 350 metres wide
for two-way vessel traffic, based on SIGTTO’s
guidance. The distance between the site of the
proposed Malahat LNG facility and Willis Point is
approximately 2,500 metres. The narrowest point
along the proposed Malahat LNG shipping route
is approximately 1,500 metres (about six times the
SIGTTO requirement), meaning there is plenty of
room to safely handle any LNG carrier traffic.
LNG carriers have a depth of 12 metres under
water. The shallowest part of the proposed
shipping route is about 60 metres, meaning there
is sufficient depth to safely accommodate LNG
carriers and no risk of grounding.
Have there been accidents or
malfunctions on LNG carriers?
LNG shipping has an exemplary safety record. Although
there have been incidents over the years, there has never
been a loss of cargo tank containment in over 50 years
of LNG shipping worldwide, with over 80,000 cargoes
delivered and 240 million kilometres travelled.
For example, in 1979, an LNG carrier grounded on rocks
at a full cruising speed of 34 km per hour (18.5 knots),
which caused a 67-metre long tear along the underside
of the outer hull and severe deformation of the inner hull.
There was no loss of cargo. This is a striking example of the
robustness of an LNG carrier double hull-design, which has
continued to improve over the years since this event. More
recently, a near head-on collision between an LNG carrier
and a freighter in the open sea caused damage to the
bow of the LNG carrier without a breach or loss of cargo.
DID YOU KNOW?
LNG carriers have a number of
active and passive safety systems
in place to detect the first sign of
a potential malfunction. Passive
safety systems include back-up
systems for critical navigation
equipment and the doublehulled cargo containment system
with independent, primary and
secondary barriers. Active safety
systems include gas, fire and smoke
detection, as well as fire-fighting
and emergency response including
water cannons, deluge spray and
immediate spill response.
Have there been accidents or
malfunctions at LNG facilities?
Major accidents at LNG facilities are rare during
operation. In the past 50 years, standards and design
requirements for modern facilities have benefitted
from lessons learned as the result of past accidents.
Here is a summary of past incidents at LNG facilities,
and how the industry has applied the lessons learned
to ensure the safe operations of future LNG facilities,
including the proposed Malahat LNG facility.
Despite these past incidents,
LNG production facilities have
an excellent safety record due
to the level of sophistication and
technology involved in the design
and development of safety systems.
They are maintained by highly
trained staff and have a number of
passive and active safety systems to
ensure safe operations.
INCIDENTS INVOLVING LNG
MEASURES UNDERTAKEN TO ENSURE SAFETY
UNITED STATES, 1979: LNG leaked through a
seal, vaporized (turned back to natural gas)
and entered the substation. The substation
was not equipped with gas detectors.
Technology for pump seals and leak detection has improved significantly
in the past 35 years. The proposed Malahat LNG facility would apply these
improvements to minimize the risk of leaks and ensure safe shutdown if a
leak were to occur. Additionally, the facility would also be equipped with
automatic gas and cryogenic spill detection systems that would initiate
safe shutdown of impacted equipment.
INDUSTRIAL ACCIDENTS NOT INVOLVING LNG MEASURES UNDERTAKEN TO ENSURE SAFETY
ALGERIA, 1977: A valve was replaced
with the wrong material, resulting in
a release of LNG.
There are strict piping and valve specifications which would be applied for
the proposed Malahat LNG facility. Additionally, strict quality assurance
measures would also be implemented to oversee fabrication and installation
of equipment and piping required for construction of the proposed facility.
INDONESIA, 1983: An incident during set-up
and maintenance of an exchanger using
warm natural gas, prior to introducing LNG
into the system.
Steelhead LNG would have a strict system of operational work approvals
and permits to work. These procedures would ensure full safety checks
are undertaken prior to restarting the proposed Malahat LNG facility and
ensure that this type of incident would not occur.
ALGERIA, 2004: Refrigerant vapour leaked
into a steam boiler. The facility was reported to
have ignition sources and a lack of automatic
shutdown and hazard detection devices.
The proposed Malahat LNG facility would be equipped with both gas and
cryogenic spill detection systems, as well as a high integrity automatic shutdown system that would ensure safe shut-down and isolation of equipment
in the event of an incident.
MYTH: LNG facilities aren’t safe and
shouldn’t be close to populated areas
REALITY
Around the world, LNG facilities have been operating
safely for decades in busy ports and densely populated
areas. The facilities either produce LNG or they receive it
and warm it back up to a gas for use in heating homes,
powering vehicles and producing energy. LNG carriers
travel to and from these facilities, often through areas of
high marine traffic.
DID YOU KNOW?
There are currently two LNG
facilities operating right here in BC.
The FortisBC-owned Tilbury LNG
facility in Delta was constructed
in 1971 to supplement natural gas
supply during periods of peak
demand, as well as supply LNG as
a cleaner transportation fuel for
heavy-duty trucking and power
generation. FortisBC also owns
the Mt. Hayes LNG storage facility
about six kilometres northwest of
Ladysmith. That facility has been
safely operating since 2011.
Some LNG facilities are closer to
major populated centres than
others. Here’s how the proposed
Malahat LNG Project site would
fit into the bigger picture.
SANDIA NATIONAL
LABORATORIES
In an effort to study the potential risks
and safety of LNG, the Sandia National
Laboratories conducted a series of largescale LNG fire tests in controlled settings.
The tests were undertaken without
mitigation measures in place to examine
the potential worst-case scenarios,
including potential terrorist attacks, which
are very low risk on Vancouver Island.
The results of the Sandia studies offer us
valuable information on facility siting
and what could happen in the event of
a spill. The guidelines aren’t prescriptive,
rather the information helps inform
the Quantitative Risk Assessments LNG
proponents complete to address any
potential site specific risks to public safety.
To view the study results, visit:
www.sandia.gov
What would happen in
the event of an LNG spill?
A leak from an LNG facility or an LNG carrier is
very unlikely; however, if there were to be an
accident or malfunction resulting in the release
of LNG, the automatic LNG leak detection
systems would alert the crew immediately. Once
the LNG comes in contact with the air, it would
start to return to its natural gaseous state. Since
natural gas is less dense than air, it would rise and
dissipate into the atmosphere.
According to research conducted by Sandia
National Laboratories, there would be no risk of an
accidental spill due to collisions and/or grounding
and therefore no risk to public safety if an LNG
carrier is travelling at low speeds. Sandia’s research
attributes the greatest perceived risk to public
safety to be within the immediate 250 metres from
spill origin, with low risk to public safety beyond 750
metres9.
LNG carriers coming to and from the proposed
Malahat LNG facility would travel at low speeds
(8 to 12 knots*) upon exiting the international
shipping lanes, meaning that there is a very
minimal risk of an LNG spill to public safety.
Sandia National Laboratories, “Guidance on Risk Analysis and
Safety Implications of a Large Liquefied Natural Gas Spill Over
Water,” Table 3: Guidance for Impacts on Public Safety from LNG
Breaches and Spills, December 2004
9
*Subject to completion of the TERMPOL Review Process.
How will Steelhead LNG
ensure public safety?
As part of the Environmental Assessment process, we’ll be assessing
the effects of potential accidents and malfunctions resulting from
the construction and operation of our proposed Malahat LNG facility.
We’re also undertaking a Quantitative Risk Assessment to determine
any potential risks and safety considerations that would be built into
the design of our proposed facility and shipping routes. Information
from this assessment will be included in our Application for an
Environmental Assessment Certificate.
Visit our website to learn
more and sign up for the
latest project updates:
malahatLNG.com
CONTACT US
1 855 860 8744
[email protected]
malahatLNG.com
Steelhead LNG
845 Deloume Rd, Mill Bay,
BC, Canada V0R 2P2
17-011.1-STL (02/16)