Highbank Resources Ltd. (
TSX: V.HBK,
Stock Forum) announces that Chinese-owned Nexen Inc. has inked an agreement with the B.C. Government that gives it the sole option to purchasing Crown land in northwestern B.C. more commonly known as Grassy Point, for a liquefied natural gas (LNG) terminal.
The Calgary-based company which was purchased by the state-owned
China National Offshore Oil Corp. (CNOOC) earlier this year, agreed to pay the province $12 million as a potential down payment to secure the deal for 615 hectares of land at Grassy Point.
According to the
Highbank Resources press release, the land is located north of Prince Rupert and within 40 miles of Highbank's Swamp Point North, Portland Canal aggregate project.
The area of the Swamp Point deposits, now under license, is estimated to contain a multi-million tonne in situ resource of sand and gravel and aggregates (granite).
Nexen joins about half a dozen companies that have located land for their proposed LNG projects in B.C. Three of those proposals also include interest in Crown land in the Grassy Point area, for which the province continues discussions.
Highbank is an exploration and development company focused on its flagship Swamp Point project in B.C.
On Thursday morning, Highbank was trading at $0.095 a share. The company had a market cap of $7.0 million, based on 74.1 million shares outstanding.