Sunday, October 17, 2021

MODG finalizing purchase of gas plant property

Lease options include Goldboro LNG proponents

  • May 19 2021
  • By Corey LeBlanc    

GOLDBORO – The Municipality of the District of Guysborough (MODG) is in the process of purchasing land where the now-decommissioned Sable gas plant operated.

ExxonMobil, which led the multi-year Sable Offshore Energy Project, owns the 49-hectare property in the Goldboro Industrial Park.

Describing it as a “critical piece of property” in an interview with The Journal, Barry Carroll – MODG chief administrative officer (CAO) – said the sides have been working “a while” on a deal.

Noting they currently have a “purchase-sale agreement,” he explained there are some things to be finalized, including a company-completed environmental assessment.

If everything continues to unfold as planned, Carroll estimated the sale would be finalized in the “next couple months.”

Once it owns the property, the MODG will be in the market for someone to lease it.

Carroll noted there are a “couple companies” that have shown interest.

“The municipality will not be selling [the property],” he said.

One of the companies on most lists for possible leasers is Calgary-based Pieridae Energy Limited – proponents of the multi-billion dollar Goldboro LNG project – which would build a camp on the land to house workers during their construction process.

Carroll agreed that the property would be an “obvious fit” for that initiative, but he noted there has been no agreement reached with anyone to lease the land, once the MODG takes over ownership.

“It is a tremendous asset,” he said of the property, noting its proximity to the natural gas pipeline.

Carroll said the MODG has been buying and selling land in that area of the municipality “for decades,” as part of an effort to “control development.”

For this particular chunk of property, the municipality had the right of first refusal for its purchase.

As for the price the MODG will pay, Carroll said that is “confidential right now.”

He added that the selling price will be made public once the deal is finalized.