Kitimat LNG Inc.

Kitimat LNG Inc.

November 25, 2008 11:30 ET

Kitimat LNG Seeks Expressions of Interest for Capacity in Proposed Liquefied Natural Gas Terminal

Formal process also offers terminal off-take and equity opportunities for unique West Coast export facility

CALGARY, ALBERTA--(Marketwire - Nov. 25, 2008) - Kitimat LNG Inc. announced today that it is requesting formal expressions of interest from potential users of its proposed liquefied natural gas export terminal at Bish Cove, British Columbia.

Interested energy companies and investors have the opportunity to submit bids for a portion of terminal capacity and bid for off-take from the terminal. Kitimat LNG is also reaching out to potential equity investors and others interested in investing in any combination of capacity, off-take and equity.

"This is an exciting time for Kitimat LNG," said Ilene Schmaltz, Vice President, Supply Marketing, Kitimat LNG. "Numerous energy companies and potential partners have contacted us regarding opportunities for terminal capacity since we announced our decision to pursue an export terminal in mid-September. Their interest has justified taking this next step to move our project forward."

Rising natural gas demand in Asia and recent increases in supply in North America - including in the U.S., Canada's traditional export market - have led to significantly higher natural gas prices in Asia than North America. These market and pricing conditions provide a compelling opportunity for companies looking to export LNG from North America to Asia.

A request for expressions of interest document, now posted to the Kitimat LNG website (www.kitimatlng.com), contains detailed information on the project, processes and expected timelines. Project highlights include:

- strong natural gas reserves in Western Canada

- strategic location on the West Coast of North America

- competitive capital costs

- low geopolitical risk

- terminal flexibility

Kitimat LNG's previous import proposal received all regulatory, environmental and government approvals, and the company will work with all levels of government on approvals, processes and permitting for the export proposal. Kitimat LNG has submitted an application for certificate amendment in relation to environmental approvals.

For questions regarding the press release or to arrange media interviews, contact Ian Noble at 604-623-3007 (office) or 604-809-9650 (cell).

About Kitimat LNG Terminal - Kitimat LNG Terminal is a project of Kitimat LNG Inc. (www.kitimatlng.com), a Calgary-based private company focused on the development of liquefied natural gas (LNG) and related facilities in North America. Kitimat LNG Terminal is proposing to construct, own and operate a liquefied natural gas terminal near the Port of Kitimat in British Columbia. The facility will receive natural gas via pipeline from Western Canada. At the terminal, the natural gas will be cooled and liquefied in preparation for export via ship to growing Asian markets.

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