An LNG facility at Sipayik (Pleasant Point Passamaquoddy Reservation) is a long way from being a done deal, according to tribal representative to the state House of Representatives, Fred Moore III.
“Nothing has been decided yet,” Moore says. “What has happened is that the [Sipayik tribal] council has signed an exclusivity agreement with Quoddy Bay LLC which simply says that the tribe won’t talk to anyone else. Right now, we’re at the talking stage. If the tribe does decide to go forward with it, we’ll be working to get local support. We’re not about to force anything on anyone.”
The exclusivity agreement between the tribal council and Quoddy LLC, based in Tulsa, Oklahoma, was signed in early June. The proposed LNG site would be on the reserve itself and would be linked by pipeline to the natural gas pipeline in Baileyville.
If the project, which is estimated at a value of between $300 and $400 million, goes ahead, Moore sees “huge benefits” for the Passamaquoddy Tribe as well as for Washington County and “all of us in eastern Maine.”
Quoddy Bay’s proposed LNG import terminal will be designed for an initial volume of 0.5 billion cubic feet and could be boosted to 1 billion cubic feet. The site would be located on approximately 40 acres adjacent to Gleason’s Cove.
Quoddy Bay spokesman Jim Mitchell said that the “tribe’s unique legal status could provide an important advantage in the permitting process, he added, because the tribe is considered to be a municipality.” He added, “This project, if it is put together right, can have some substantial benefits for the local citizens and for the region.” Another advantage, Mitchell said, was the tribe’s ability to create a corporate entity to work with the Oklahoma-based company.
Gov. John Baldacci issued a statement supporting the LNG Proposal which said in part: “I’m pleased that Governor [Melvin] Francis and his tribal council are working toward a project that will bring jobs to Washington County and more clean energy options to the Northeast. “My administration will work hand-in-hand with Governor Francis and federal agencies to protect and promote local, regional and statewide interests. Outreach and education and more partnerships will be key next steps.”
The company expects to notify the Federal Energy Regulatory Commission of their intent to file an application by December 1, 2004.