Canadian Manufacturing

Ferus buys Encana out of joint venture LNG plant in Alberta

by Cleantech Canada Staff   

Cleantech Canada
Operations Oil & Gas

Plant in Elmworth, Alta., in northwestern Alberta has production capacity of 190,000 litres per day

CALGARY—Ferus Natural Gas Fuels, Inc. said it is buying Encana Corp.’s 50 per cent interest in an Alberta liquefied natural gas (LNG) plant the two firms built together.

According to Ferus, it is buying Encana’s stake in the 190,000-litre per day production facility in Elmworth, Alta., about an hour southwest of Grande Prairie, for an undisclosed price.

Ferus said it will retain “key … technical and management personnel” as part of the deal.

Undertaken as a 50/50 joint venture between Ferus and Encana, the plant is “strategically located in close proximity” to active drilling sites in Alberta and British Columbia.


LNG produced at the plant will be used to fuel drilling rigs, pressure pumping services and heavy trucks, according to Ferus.

The first phase of the plant is slated to open in May.


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