Canadian energy infrastructure company AltaGas announced the opening of its Ridley Island Propane Export Terminal (RIPET), located in Prince Rupert, British Columbia, the first marine export facility for propane in Canada.
The facility began introducing propane feedstock in mid-April, and the first shipment departed the terminal on 23 May bound for Asia.
RIPET signals to our customers overseas that Canada can deliver on energy exports, and the facility will make significant long-term contributions to international trade, support economic growth in northern B.C., and provide immediate access to clean-burning fuel in Asian markets, where demand is particularly strong,
…said Randy Crawford, AltaGas’ President and CEO.
In 2017, AltaGas entered a multi-year agreement with Astomos Energy Corporation, a Japanese propane importer and distributor, to purchase at least 50 % of the propane shipped from RIPET annually.
The ability to import Canadian propane is a significant advantage for Japan, as it provides greater energy security and supply diversification, while also enabling Canada to maximize the value of its natural resources. This first-of-its-kind project demonstrates to the world what can be achieved through effective partnerships between Canadian and Japanese companies, and will ultimately benefit both countries for decades to come,
…said Seiya Araki, President of Astomos Energy Corporation.
In total, RIPET is expected to ship approximately 1.2 million tonnes of propane annually to customers in Asia.
Asia is the world’s largest importer of LPG, with as many as 24 million households using propane for heating and cooking in Japan alone.
Propane is also an important feedstock for the petrochemical industry, and fuels nearly 25 million vehicles worldwide.
The project provided more than 200 jobs during the construction phase, and will provide up to 40 additional permanent jobs for the local economy now that the facility is operational.
AltaGas also worked closely with emergency responders in Port Edward and Prince Rupert, providing training and financial support to ensure the safety of nearby communities.
RIPET is owned by a joint venture between AltaGas (70% interest) and a Canadian subsidiary of Royal Vopak (30% interest).
