The provincial government of British Columbia issued a non-compliance warning to Prince Rupert Gas Transmission Project, leading to potential fines on the key supply line for a proposed Canadian LNG facility.

In a letter dated March 6, the British Columbia Environmental Assessment Office notified the pipeline company that it was in violation of meeting standards for signage in environmentally sensitive areas and meeting requirements to protect bat roosts.

The pipeline company, a joint venture owned by the Nisga'a Nation and Western LNG, faces fines up to CA$2 million (US$1.4 million) for non-compliance. According to the letter, the government office says it will continue to follow up on the situation.

The Prince Rupert Gas Transmission Project is a 497-mile project that would ship up to 3.6 Bcf/d of natural gas to the Ksi Lisims LNG facility, a proposed floating LNG project on the Canadian west coast. TC Energy sold the line to the JV in 2024.

Construction on the pipeline is paused for the government’s environmental review.