Despite rejections, LNG proposals move up the coast
Passamaquoddy Bay is no place for terminals, say opponents
By Maureen Kelly
	The proposals follow several attempts by other developers to site LNG terminals in coastal Maine. 
Over the past two years, Maine residents have rebuffed proposals in Harpswell, Cumberland, Yarmouth, 
Gouldsboro and Searsport.
 
	If approved in the Passamaquoddy region, the LNG facilities would be located on the U.S. shoreline 
of the bay, which straddles the U.S./Canadian border. But since tankers making deliveries would have 
to traverse Canadian waters to reach port, the Canadian government may ultimately determine whether 
the American terminals are built.
 
	Oklahoma-based Quoddy Bay LLC was the first to announce plans for a terminal on Passamaquoddy 
tribal land that would include a pier with berths for two tankers and an eight-mile pipeline to 
storage tanks in Robbinston, Maine. After residents in nearby Perry voted against the company's 
proposal to site the facility at Gleason Cove last March, the company and tribal leaders reached 
a controversial agreement in May for the lease of a site at Split Rock on the Pleasant Point 
reservation. 
 
	Washington D.C.-based Downeast LNG wants to build a terminal, including a pier and storage tank, 
at Mill Cove in Robbinston. And Washington County-St. Croix Development, a locally-owned concern 
founded by two Maine state representatives - one of whom represents the Passamaquoddy tribe - became 
the third entity to propose a terminal in the bay, at the Red Beach section of Calais. 
 
	Elsewhere in the Gulf of Maine, other energy companies are vying for approval to build terminals. 
In Massachusetts, AES Corporation has proposed to build a facility in Boston Harbor on Outer Brewster 
Island, part of a state and national park. Excelerate Energy and Neptune LNG are each planning 
offshore terminals in federal waters off Massachusetts's North Shore.
 
	Irving Oil and Repsol received approval from the Canadian government to jointly construct a 
terminal in Saint John, New Brunswick, 60 miles from the U.S. border. The so-called Canaport 
terminal will be operational by 2008 to serve the Canadian and U.S. markets. Canadian officials 
consider Saint John a good location for the terminal since the city, home to an oil refinery, is 
already industrialized, has infrastructure in place to minimize pollution and is on established 
shipping routes.
 
	Presently, the Distrigas terminal in Everett, Massachusetts, is the only LNG terminal in the 
region, one of six in the United States. 
 
	Natural gas is contributing an ever larger share to New England's energy mix for heating homes 
and generating electricity. Industry experts and public energy officials predict that demand will 
soon outpace domestic supply and the region will need new sources of the fuel by the end of this 
decade to reliably deliver during peak winter months. Liquid natural gas - imported from overseas, 
gasified then shipped by pipeline to regional markets - is seen as one of the most viable options 
for increasing supply. Natural gas is cleaner than other fossil fuels producing fewer greenhouse 
gas emissions.
 
	Yet opponents of the proposed projects believe that LNG's benefits are outweighed by the 
potential for ecological and economic damage, and harm to humans that ships full of hazardous 
cargo could present in the bay.
 
	Hundreds of area residents participated in anti-LNG rallies and thousands signed petitions that 
went to the government of Maine and the U.S. and Canadian federal governments, said Linda Godfrey, 
coordinator of a cross-border grassroots organization, Save Passamaquoddy Bay. Several Canadian 
politicians voiced opposition as well. In August, New Brunswick Premier Bernard Lord announced 
that he wanted the Canadian federal government to reject the American proposals. Canada could 
deny tankers access to its waters, blocking their route to port, as the nation did thirty years 
ago when it barred oil tankers from those same waters because of the high ecological value of 
the area and navigational risk.
 
	LNG tankers as long as three football fields will have to navigate through the Bay of 
Fundy - renowned for its extreme tides and strong winds and currents - to Head Harbour Passage 
where tugboats would escort the tankers for a two-hour inland voyage. The passage is deep but 
narrow, which would require tankers to run close to the shoreline. The ships would also have to 
avoid a natural hazard called the Old Sow Whirlpool, the second largest whirlpool in the world.
 
	The Head Harbour area is a rich feeding ground for birds and wildlife drawn to the clusters of 
plankton and krill that are abundant there. Harbor porpoises, basking sharks, seals and finback, 
humpback and minke whales inhabit the area. Endangered North Atlantic right whales migrate to the 
Bay of Fundy in the summer and near proposed routes and tend to concentrate in protected zones east 
of Grand Manan Island. 
 
	The impacts of LNG tanker traffic on wildlife will be investigated as the companies move forward 
with their environmental impact statements. The Canadian government will also conduct a comprehensive 
study that will look at the biological, social and economic impacts of the projects on Canada, said 
Greg Peacock, executive director of Provincial Relations at Canada's Department of Fisheries and 
Oceans.
 
	Concerns over the projects' impact on the local economy have surfaced on both sides of the 
border. The bay's natural resources are the backbone of a $1 billion “eco-economy” that employs 
thousands in the tourism, aquaculture and fishing industries, said Art MacKay, executive director 
of the St. Croix Estuary Project in St. Stephen, New Brunswick. He believes the exclusion zones 
that would surround tankers en route to the terminals would disrupt commerce in the bay and that 
local business could lose million of dollars due to these downtimes.  
  
	On the American side, others worry about the cost local communities would have to bear to enhance 
emergency response and infrastructure to support an influx of workers.
 
	“It's going to be a huge burden on towns,” Godfrey said.
	Opponents also point out that looking to the LNG industry for economic development seems 
shortsighted to some who expect few jobs will be available to locals after construction. 
 
	If the terminals are built, the U.S. Coast Guard and Transport Canada would have to coordinate 
security for tankers transiting between the two nations' waters.  
 
	Security measures requiring lights, gunboats, surveillance and citizen refuge areas would “take 
away from everything this place is,” said Godfrey, who believes that LNG terminals should be sited 
in already industrialized areas.  
 
	Within the next few months, Godfrey and others on both sides of the issue will find out if the 
U.S. and Canadian federal governments agree with them.
 
	LNG - natural gas cooled to its liquid state at -260o F (-162.2o C) - has been transported 
across the world's oceans for over four decades. After delivery, LNG is either stored or heated 
to turn it back into gas for delivery to homes and businesses.  
 
	The U.S. LNG industry boasts a safety record with no major accidents in more than 25 years and 
no spills from tankers, which are double-hulled to protect against collisions. Storage facilities 
on land also have double-walls to prevent gas escaping. Safety and security measures require tankers 
approaching U.S. ports to give the U.S. Coast Guard a four-day advance notice of arrival.  The ships 
are subject to at-sea boardings by marine safety inspectors and the Coast Guard, crews undergo 
background checks, and the ships receive a Coast Guard escort into port with security zones 
around the vessel.
 
	In December 2004, Sandia National Laboratories released a report, prepared for the U.S. 
Department of Energy, on the risks and consequences of a potential LNG spill over water. 
 
	“Risks from accidental LNG spills, such as from collisions and groundings, are small and 
manageable with current safety policies and practices,” the report authors concluded. A spill 
caused intentionally, such as by a terrorist attack, would present the worst-case scenario. 
The authors stated that such risks “can be significantly reduced with appropriate security, 
planning, prevention and mitigation.”
 
	In the event of a spill, hazards could include cryogenic burns to the ship's crew or emergency 
workers who come into contact with the super-cold fluid. Once a spill occurs, the liquid gas would 
begin to vaporize. Mostly comprised of methane, the vapor becomes flammable if there are 
concentrations of it in the air of 5 to 15 percent. Under these circumstances, if the gas is 
confined and ignited, an explosion could occur. If released into the air, a vapor cloud could form. 
If ignited at the spill site, the cloud would burn as a pool fire. A fireball could result if the 
cloud wafts over a distance before catching fire. In that case, the vapor would burn back to its 
source.  
 
	The danger posed by a spill would depend on the size of it and environmental conditions - such as 
wind, tides, currents, and waves - that could influence the spread of the gas. The most significant 
impacts to public safety would be within 500 meters (0.31 miles) of a spill, and lesser impacts would 
exist beyond 1600 meters (about one mile), according to the Sandia report.
 
© 
2005 The Gulf of Maine Times
THE DEBATE over the siting of liquefied natural gas (LNG) terminals has reached the northernmost 
shores of Maine with three proposals to build terminals for offloading LNG from ships in the 
deepwater ports of Passamaquoddy Bay. While the projects could provide a new source of energy 
for New England and bring jobs to Maine's Washington County, opponents argue that an LNG terminal, 
and the huge tankers that service it, will pose a threat to a vibrant coastal ecosystem and destroy 
the region's tourist trade by industrializing small coastal communities, tribal lands and resort 
towns. LNG terminals and their land-based facilities could also make the area vulnerable to terrorism 
or an accidental spill, opponents say. 
Proposals in Maine and elsewhere
Increased demand
Impact on local economies 
Is LNG safe?
	- Maureen Kelly