Newfoundland LNG Ltd. has proposed developing an LNG transshipment and storage terminal at Grassy Point on Placentia Bay on the southeastern coast of Newfoundland, Canada. The site is strategically located to serve the Northeastern US and Canada. In addition, the water depth at the port is sufficient to permit safe transit to and from the location by the largest LNG carriers.

The facility would offer Atlantic Basin LNG suppliers with supply-chain solutions. The terminal would be able to provide cargo transfers, LNG storage, and a lay-up site for in-transit LNG carriers. It could accommodate up to 400 vessels per year, which would allow these ships to travel shorter distances, make frequent trips, and thus improve their operational economics. The design of the terminal has a boil-off gas (BOG) re-liquefaction system to manage all BOG created within vessels. All BOG gathered from storage and/or transshipment would be re-liquefied and returned to storage utilizing a land-based re-liquefaction system.

The project calls for constructing the following: a wharf comprising three jetties with berthing capacity for LNG tankers up to 265,000 cubic meters, eight LNG storage tanks with a capacity of 160,000 cubic meters each, a tugboat basin, and a supporting infrastructure.

The construction of the facility would consist of three phases that will employ between 300 and 400 positions; after construction, the terminal would support approximately 125 permanent jobs. The expected project life of Grassy Point is 50 years.

In August 2008, the project reached an important milestone when the Canadian Environmental Assessment Agency gave the project a favorable review and referred the project back to Transport Canada and Fisheries and Oceans Canada to ensure the implementation of mitigation measures.