CH-IV International to Serve as Owner’s Engineer to Gaz Métro to Provide FEED for LNG Facility

In Order to Meet Growing Vehicular LNG Demand, Gaz Métro is looking to Expand the Natural Gas Liquefaction Capacity of its Montreal LNG Plant.

HANOVER, MD February 7, 2013 – Jeffrey P. Beale, President of CH-IV International (CH-IV), is pleased to announce that CH-IV International has been selected as Owner’s Engineer to prepare the Front End Engineering Design (FEED) for the expansion of Gaz Métro’s liquefied natural gas (LNG) production facility in Montreal, Quebec.  Gaz Métro, the largest natural gas distribution company in Quebec, is currently looking into several solutions for improving the availability of LNG in Quebec and eastern Canada, including the expansion of its Montreal liquefaction, storage and regasification (LSR) plant.

Gaz Métro’s LNG development plan is to supply LNG by truck to the heavy transport industry in eastern Canada, via its indirect subsidiary Gaz Métro Transport Solutions, LP (GMTS), and subsequently to assess the possibility of hauling LNG by truck to service more remote areas from Gaz Métro's natural gas pipeline network.  The potential heavy transport industry includes heavy-duty LNG-powered trucks, LNG-powered ferries and a development program for LNG-powered locomotives.

The LSR plant, which supplies Gaz Métro customers during peak gas demand periods, is located in the east end of Montreal and has been operating for more than 40 years.  As the present storage capacity of the two existing LNG tanks easily meets current customer demand, Gaz Métro has retained CH-IV to provide the FEED for a project focusing solely on increasing liquefaction capacity.  The FEED and EPC bid package should be finalized by the end of March.  The current expectations of Gaz Métro are then move to issuance of a request for proposals (RFP) in April for the engineering, procurement and construction (EPC) of the additional liquefaction unit.

CH-IV International had previously prepared a feasibility study to Gaz Métro on various alternatives under consideration.  The expansion of LSR’s liquefaction capacity is most likely the first step in meeting an ever increasing demand for vehicular LNG.

Mr. Beale stated, “CH-IV is excited to participate in expanding eastern Canada’s access to clean-burning, economic LNG for both vehicular use as well as fuel oil replacement.  As an early promoter of vehicular LNG, I am particularly proud that CH-IV is able to support Gaz Métro’s trailblazing effort.”

Mr. James A. (“Jim”) Kelly, of CH-IV’s Hanover, MD Office, is managing this project.

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CH-IV [read C - H - 4] International (www.ch-iv.com) is a joint venture corporation between MPR Associates, Inc. (www.mpr.com) and CH-IV Cryogenics, LP.  CH-IV International provides engineering and consulting services in four overlapping areas involving LNG facilities: 1) Feasibility / Pre-FEED; 2) Front end engineering design (FEED); 3) Engineering oversight and consulting on all things LNG; and 4) Operational services relating to the training, commissioning, start-up and operations of LNG facilities.