Foreign Affairs Calais LNG is the latest company to make a pitch for a project that has sparked international controversy

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CALAIS, Maine - Calais LNG, the third company to propose an LNG terminal in Washington County, says New Brunswickers will benefit from the project and should work with the company and share in the prosperity.

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Mary-Ellen Saunders/Telegraph-Journal

Ian Emery, project manager for Calais LNG stands in front of the office headquarters on Main Street in Calais, Maine where he has hung both Canadian and American flags.

"If we are going to be successful we really need to engage our good neighbours in New Brunswick and talk about it in a way that is going to bring benefits to this region and not just one area," said Ian Emery, project manager of Calais LNG. "I believe our project has potential for benefits not only in Maine and New Hampshire but also New Brunswick. I am looking forward to having talks with the provincial government to find out what those benefits might be for the people of New Brunswick."

Calais LNG is proposing an estimated $750-million LNG receiving terminal and storage facility on the outskirts of Calais, along the banks of the St. Croix River and Passamaquoddy Bay. If successful the project would be directly across the river from Bayside, N.B. LNG would have to be brought in on tankers through Canadian waters in Head Harbour Passage.

Jessie Davies, chair of Save Passamaquoddy Bay-Canada, laughed when she heard that Calais LNG said its project would benefit New Brunswickers.

"For a developer to say that I wonder if he's into public relations more than anything else," said Davies. "There is a lot of false hope with all of these projects but if you really look at the economics of the project they could destruct our economy with very little promise of anything. I've yet to see any benefit for New Brunswick for any of these projects."

Davies said having LNG tankers come through Head Harbour Passage would pose a security risk for people living along the Canadian waters, especially for the people residing on Deer Island and Campobello Island. She said the ships would interrupt the traditional fisheries and aquaculture business in the area and harm the tourism industry.

Prime Minister Stephen Harper and MP for Southwest New Brunswick Greg Thompson have publicly stated the Canadian government will not allow LNG tankers to travel through Head Harbour Passage which is Canadian water. The politicians have not wavered on their position but no legislation has been enacted to deny the ships access.

Davies said she can not understand why another LNG project would come forward when Canada has clearly stated they will not be allowed to cross the bay.

"We really find it disturbing and perplexing that a company will completely disregard the Canadian government and their investors seem very unwise in their choices," said Davies. "I can not imagine putting money into a project that is not going to be able to move forward because they can not get the LNG to the facility. Canada has been very clear."

Davies said she would like the Canadian government to create written regulations that will make it even clearer to potential developers.

Emery said the company and financial investors are not worried about Canada's position on Head Harbour Passage. Emery said he believes a solution will be worked out before the terminal is built and operational.

"In short, it's our government's view, and we share it, that we have right for that passageway," said Emery. "Our ships have the right to traverse that passageway."

Emery said the company is concerned more with getting state and federal permits to start construction. He said the company is preparing to file its documents with the Federal Energy Regulatory Commission.

Emery, a former fisherman, said the project will be a success for several reasons, one of them being that he will consult fishermen and local bay users to work out any issues they may have.

He said the project is located across the bay from Bayside, which has an industrial quarry site that sends ships across the same passageway.

Emery said the project would provide about 250 construction jobs and between 40 and 60 permanent jobs in an area with an unemployment rate above 10 per cent.

Davies said the group will continue to fight Calais LNG, Quoddy Bay LNG and Downeast LNG to protect the bay and the way of life in Charlotte County.

"We have to take each on seriously and make sure that they don't happen," said Davies.