Progress Energy plans to cut billions in capital expenditures over the next several years as it continues to wait for a decision from the federal government on Pacific NorthWest LNG.
In an interview with the Financial Post Wednesday, Progress President and CEO Michael Culbert said the cut is part of an $11.4-billion reduction in capital expenditures parent company Petronas is expected to make across its portfolio.
"The plan with the final investment decision moving forward was another $5 billion in the next three years moving into the development phase," Culbert told the Post.
"We are going to drop that (figure) down to somewhere around $500 million over the next two years -- so a significant drop."
Culbert also told the Post that the company expects to respond to the Canadian Environmental Assessment Agency "within the next two weeks" with information on on the project's environmental and Aboriginal land use impacts.
However, the delay on a federal decision has meant Pacific NorthWest LNG will need "new engineering, procurement, construction and commissioning bids" for the project and the associated Prince Rupert Gas Transmission pipeline, the Post reported.
Read the full story at the Financial Post.
This is developing story. More information will be provided as it becomes available.