Cedar LNG ProjectCanadian energy produced cleanly, responsibly and efficiently.

PROJECT UPDATE — SPRING 2021

Artwork by Paul W

indsor

Introduction

Welcome to the Cedar LNG Project.

The Cedar LNG Project (Project) is a proposed floating liquefied natural gas (FLNG) facility in Kitimat, British Columbia, Canada, within the traditional territory of the Haisla Nation. At the Cedar LNG Project, we believe meaningful consultation comes from sharing fact-based information in a transparent manner, which is why we put together this Project Update—Spring 2021. The Project Update provides an overview of the Project and is intended to answer some of your questions and gather your comments about the Project. At the Cedar LNG Project, we also use an innovative design philosophy to minimize the impact on the local community and environment while building a project that will produce industry-leading low-carbon, low-cost Canadian LNG for customers in the Asia-Pacific. So the more we can learn from you about the local community and the region, the better.

The Cedar LNG Project will be the first Indigenous-majority-owned LNG export facility in Canada, which provides unprecedented opportunities for the Haisla Nation and the region. The Xa’is’la or Haisla have occupied their traditional territories in Northwestern British Columbia for more than 9,000 years. The Project is a key element of the Haisla Nation’s economic and social development strategy and will further advance reconciliation by allowing the Haisla Nation to—for the first time ever—directly own and participate in a major industrial development in its territory.

As part of the development of the Cedar LNG Project, our Team has been engaging the Gitga’at, Gitxaala, Kitselas, Kitsumkalum, Metlakatla and Lax Kw’alaams Nations whose traditional territories are located in neighbouring communities and/or along the Project’s proposed shipping route. Support from these Nations is important to the Haisla Nation and the Cedar LNG Project Team. Part of the Haisla Nation’s commitment for the Cedar LNG Project is to ensure that its neighbouring Nations also benefit from the Project.

As a project led by the Haisla Nation and its partners, the Cedar LNG Project represents a new era of Canadian LNG: one where Indigenous and industry partnership—and world-leading social and environmental accountability—combine with market demand to create long-term prosperity for the Haisla Nation, the region and Canada.

Thank you for taking the time to learn more about the Project. We look forward to hearing from you.

Sincerely,

The Cedar LNG Project Team

LNG Canada

Kitamaat Village

Cedar LNG

Kitimat LNG Industrial Site

Bish Creek Forest Service Rd

Rio Tinto

Cedar Valley LodgeLNG Canada

Douglas Channel

BC Hydro Transmission LineKitim

at River

Coastal GasLink PipelineCedar LNG Metering StationCedar LNG PipelineBC Hydro Minette SubstationCedar LNG Transmission Line

Moore Creek

Ande

rso

n Cree

k

The Project

The Cedar LNG Project is a proposed FLNG facility in Kitimat, British Columbia, Canada, within the traditional territory of the Haisla Nation. The Project is strategically positioned to leverage Canada’s abundant natural gas supply and BC’s growing liquefied natural gas (LNG) infrastructure to produce industry-leading low-carbon, low-cost Canadian LNG for new overseas markets.

Minimizing ImpactBy using an innovative design philosophy that fits the facility into the local environment, the Cedar LNG Project will minimize the impact to the local environment while creating value for customers and prosperity for both the Haisla Nation and the region.

Project Location

The Cedar LNG Project is located ~ 8 km southwest of Kitimat town centre and ~3 km across from Kitamaat Village.

Douglas ChannelStrut Mooring System

Worker Pedestrian Crossing

SecurityGates

Pedestrian and Small Vehicle

Access

FLNG Facility

Small Craft Jetty

Security Building

Warehouse

Substation

Potential Disturbance AreaProposed Constructed AreaFencePipelineTransmission LineElectrical Cables

Project Features

The marine terminal is located at kilometre 3 on the Bish Creek Forest Service Road. The marine terminal includes the FLNG facility and other supporting infrastructure.

Marine Terminal The marine terminal is located on land owned by the Haisla Nation, which is zoned for industrial and port development by the District of Kitimat’s Official Community Plan. The FLNG facility will be constructed at an existing shipyard in Asia, which will reduce the Project’s footprint and minimize the disruption to the local community during the construction period.

FLNG Facility

An FLNG facility to produce approximately three million tonnes of

LNG per year.

Natural Gas Pipeline

An approximately 8 km pipeline to connect Cedar LNG to the

Coastal GasLink pipeline.

Renewable Electricity

A transmission line to connect Cedar

LNG to BC Hydro’s low-carbon electricity.

LNG Export Ship

An LNG export ship will dock at Cedar LNG

about once every seven to 10 days.

Project Schedule The Cedar LNG Project is in the planning and preliminary engineering stage. Pending approvals and other authorizations, a final investment decision is anticipated in 2023, with commercial operations beginning in 2027.

Project Benefits The Project will create jobs, contracting and other economic opportunities for the Haisla people, the local community and Indigenous Nations, and the region. Up to 500 people will be working at the Cedar LNG site at the peak of construction, and approximately 100 people will be working at the facility full-time during operation.

More details will be available as the Project is developed.

100+ Operations Jobs*

500Construction Jobs*

UP TO

*2020 estimates based upon preliminary engineering

Introduction to Environmental Assessment

The Cedar LNG Project is undergoing an environmental assessment (EA) by both the provincial and federal governments, which will assess the potential effects of the Project and determine whether the Project is in the public interest.

The EA process also provides the Cedar LNG Project Team many opportunities to share information about the Project and gather input from the local community and Indigenous Nations, the public, government and other key stakeholders.

The information gathered during the EA process will become part of the Project’s environmental assessment certificate (EAC) application. The information will also be used by the provincial and federal governments to decide if the Project will be awarded environmental approvals.

Environmental approvals typically come with a list of conditions for the life of the Project. These conditions are managed, monitored and reported on from pre-construction, to construction, operation and decommissioning of the Project.

Environmental Assessment Process

EA Stage Description Timing Responsibility

Cedar LNG Project Description Submitted

The Project team engages with Indigenous Nations, government and other key stakeholders, and then files a Project Description with the BC Environmental Assessment Office (BC EAO) and the Impact Assessment Agency of Canada (IAAC).

Completed in August 2019

Cedar LNG Project Team

Determine if EA is Required

If the Project meets the requirements for provincial and federal environmental assessments, the BC EAO and the IAAC determine which stakeholders must be involved in the assessments.

Completed in winter 2020-21

BC EAO and IAAC

EA Application Information Requirements Determined

At this stage, the scope of the assessment and areas of study are determined. This stage includes a formal public comment period, and continued engagement with the local community and Indigenous Nations, the public, government and other key stakeholders.

The Cedar LNG Project is at this stage

Cedar LNG Project Team prepares submission

BC EAO facilitates consultation and review of submission

BC EAO approves submission

Cedar LNG Project Environmental Assessment Application Submitted

The results of the studies and other information gathered in the previous stages of the process become part of the Cedar LNG Project’s application for an EAC. The application requires a six-month review period including a formal public comment period and continued engagement with identified stakeholders.

TBD Cedar LNG Project Team prepares the application for an EAC

BC EAO and IAAC lead the review of the application with Indigenous Nations, regulators and the public

Cedar LNG Project Environmental Assessment Report Published

Following careful review of the EAC application and all supplied information, the BC EAO and IAAC publish an environmental assessment report. There is additional engagement with stakeholders and regulators before the provincial and federal governments determine whether the Project can proceed and if so, under what conditions.

TBD BC EAO and IAAC

Cedar LNG Project Awarded EA Approvals

The federal and provincial governments consider the information gathered during the assessment process; weigh the potential positive, neutral and adverse effects of the Project; and then determine whether the Project is in the public interest.

If the Project is determined by both levels of government to be in the public interest, then the Project is approved.

TBD BC Minister of Environment and Climate Change Strategy and BC Minister of Energy, Mines and Low Carbon Innovation

Minister of Environment and Climate Change Canada

A l a s k a

Metlakatla

Kitselas

Kitsumkalum

H a i d a G w a i i

37

37

16

16

Deva

stat

ion

Chan

nel

Verney Pas

sage

Lewis Pass

age

Gardner Canal

Doug

las Ch

anne

l

Kildala Arm

Kitim

at R

iverSke

ena Ri

ver

Portlan

d Inle

t

Nas

s Riv

er

Exchamsiks River

Exstew River

Nepean Sound

Wright Sound

Kitsumkalum Lake

He c a t e S t r a i g h t

D i x o n E n t r a n c e

B r o w n P a s s age

Chatham Sound

Princess Royal Channel

Principe Channel

Kemano Bay

Sh i p

p i ng R o u t e

Kitimat

Hartley Bay (Gitga'at)

Kitkatla (Gitxaala)

Port Edward

Prince Rupert

Rosswood

GingolxLaxgalts'ap

Dorreen

Gitlaxt'aamiks

Gitwangak

Gitwinksihlkw

Terrace

Remo

Lakelse Lake

Lax Kw’alaams

Kitamaat Village

Butedale

Georgetown Mills

Skeena

Pitt Island

Banks Island

Porcher Island

McCauley Island

Princess RoyalIsland

Digby Island

Melville Island

Triple Islands

KennedyIsland

Goschen Island

TrutchIsland

Estavan Group

MaitlandIsland

CosteIsland

Dunira Island

StephensIsland

DundasIsland

Farrant Island

CampaniaIsland

GilIsland

GribbellIsland

HawkesburyIsland

Cedar LNG Project

Environmental Assessment Areas of Study Studies are planned and/or underway to better understand the potential effects of the proposed Project—including environmental, social, economic, heritage and health and safety—in the local community and the region.

Regional Social and Economic Areas of Study

Environmental Areas of Study

Local Social and Economic Areas of Study

Marine Areas of Study

Indigenous Reserve Lands*

Nisga’a Nation Treaty Lands

Shipping Route

Disclaimers:

Identified areas of study are illustrated as representative of approximate areas. Accurate study areas for the project’s environmental assessment can be found in the Cedar LNG draft Application Information Requirements available at projects.eao.gov.bc.ca.

* Indigenous Reserve Lands (legally known as Indian Reservations under the Indian Act) are illustrated as representative of approximate areas as defined by the Indian Act, and a component of a nation’s traditional territory. Traditional territories for Gitga’at, Gitxaala, Kitselas, Kitsumkalum, Metlakatla, Lax Kw’alaams and Haida Nations can be found in the Cedar LNG draft Application Information Requirements available at projects.eao.gov.bc.ca.

Keep In Touch

Thank you for taking the time to learn more about the Cedar LNG Project. We look forward to hearing from you.

From June 3, 2021 through July 19, 2021, you can provide feedback about the Cedar LNG Project online at the BC EAO website projects.eao.gov.bc.ca.

You can also submit your comments and questions directly to the Cedar LNG Project Team at any time by emailing info@cedarlng.com with “Cedar LNG Feedback” in the subject line.

Visit cedarlng.com to subscribe to our newsletter.