Petronas Expects LNG Exports from Canadian Facility by 2018

Petronas expects a final investment decision for the $11 billion Canadian LNG project with Progress Energy Resources Corp by late 2014, followed by the first LNG exports in 2018.

The companies will also continue the upstream development of natural gas production in the Montney region, and install a pipeline to carry natural gas from production fields to the new LNG facility, Reuters said.

"The acquisition will enable Petronas to secure long-term strategic gas resources and leverage on Progress' extensive experience in unconventional resource development," the statement said.

Meanwhile The Star newspaper reported that Petronas is expected to triple its its international unconventional gas reserves to one billion barrels of oil equivalent (boe) after the takeover. The takeover will give Petronas control of the largest holder in the Montney shale gas area of British Columbia and full ownership of three fields it bought a stake in last year.