Petroleum Services Association of Canada p~ AB, working energy • psac.ca

March 1, 2016

Pacific NorthWest LNG Project Canadian Environmental Assessment Agency 410-701 West Georgia Street Vancouver, BC V7Y 1C6

Dear Canadian Environmental Assessment Agency,

We are writing to express the support of the Petroleum Services Association of Canada (PSAC) for the natural gas and liquefied natural gas industry in Canada.

PSAC is the national trade association representing the service, supply and manufacturing sectors within the upstream petroleum industry. PSAC represents a diverse range of more than 200 companies, employing more than 60,000 people and contracting almost exclusively to oil and gas E&P companies. This sector comprises the companies and people that develop many of the innovations and technologies that create efficiencies, reduce costs, and improve environmental performance within the oil and gas services sector in Canada.

Given current economic challenges, the monopoly held by the US on Canada's oil and natural gas and the associated loss of revenue from selling our products at a discount, we have great interest in infrastructure projects that will provide access to tidewater in order to move our natural resources to international markets for the economic benefit of all Canadians through jobs and taxes.

As the only producing country with a price on carbon, one of the most robust regulatory regimes in the world, and one that values human rights, we believe that the world will be better served with Canadian natural gas.

Accordingly, we are watching with great interest, the federal environmental and regulatory assessment processes currently underway for resource projects in Canada including the progress of the Pacific NorthWest LNG project. We feel very strongly that now is the time for us to collectively work together to ensure progress in the creation of a Canadian LNG export industry.

In order to avoid a decline in natural gas production, Canada needs to connect to global liquefied natural gas markets which have already been well established in the Pacific Rim, an area where we understand the Pacific NorthWest LNG project has already secured buyers.

For Canada to capitalize on its tremendous natural gas resources, it is critical that we seize opportunities before market windows close. Approving projects like Pacific NorthWest LNG will help us reap those benefits.

Leading Energy Services, Supply, Manufacturing and Innovation Letter to Canadian Environmental Assessment Agency March 1, 2016

Strengthening the long-term viability of Canada's natural gas industry with approval of projects like Pacific NorthWest LNG will also bring significant economic benefits for Canadians, including significant contributions to government revenues, jobs, and regional economic development.

Thank you for the opportunity to provide our input and support for a positive decision for approval of the Pacific NorthWest LNG project.

Sincerely,

S ASSOCIATION OF CANADA

President & CEO

cc: The Right Honourable , P.C., M.P., The Honourable Catherine McKenna, P.C., M.P., Minister of Environment and Climate Change The Honourable , P.C., M.P., Minister of Finance The Honourable Hunter Tootoo, P.C., M.P., Minister of Fisheries, Oceans and the Canadian Coast Guard The Honourable Jody Wilson-Raybould, P.C., M.P., Minister of Justice and Attorney General of Canada The Honourable , P.C., M.P., Minister of International Trade The Honourable Ha~it Sajjan, P.C., M.P., Minister of National Defence The Honourable James Carr, P.C., M.P., Minister of Natural Resources The Honourable , P.C., M.P., Minister of Sport and Persons with Disabilities The Honourable , P.C., M.P., Minister of Transport