GUYSBOROUGH – Joining forces with a Quebec oil and gas exploration firm will give Pieridae Energy more financial options as it advances toward a final investment decision for the Goldboro LNG project. Pieridae announced Monday that it plans a reverse takeover of Petrolia Inc., allowing the amalgamated company to tap into public markets as a “fully integrated energy company, from upstream production to the sale of liquefied natural gas (LNG).”
“We’ve been hitting some significant milestones lately,” Mark Brown, Pieridae’s director of project development, told The Journal Tuesday.
The amalgamation, subject to shareholder approval, will result in the formation of a new entity to be named Pieridae Energy Limited -- Canada’s first publicly traded, integrated LNG company.
“Pieridae’s Goldboro LNG facility project...combined with the resource potential held by Pétrolia, constitutes an opportunity for investors to participate in the evolution and growth of Canada’s only integrated LNG facility holding key permits and approvals for its current stage of development,” the company said in a news release.
When asked about the sluggish current market conditions for LNG, Brown said the short- and medium-term conditions are not as significant when you’re talking about a project with a 20-year horizon.
Still, there remains considerable work to be done. “We are looking to overcome some significant hurdles,” he said.
The amalgamation news follows on the heels of a recent labour agreement with a provincial trades association.
Brown said the company continues to pursue a final investment decision by the end of 2017.