General Manager’s Message to the Community

As Canaport LNG celebrates its completion, I am celebrating a beginning in my new role as General Manager. I am very pleased to have been given the opportunity to lead operations and to continue to operate a safe and efficient terminal and I look forward to continuing to work with the Canaport LNG team and our partners.

I’ve been given the unique opportunity to be part of the Canaport LNG project from the beginning - when it was just an idea; to its planning and construction; and now its operations.

I first arrived in Saint John, New Brunswick, Canada in March of 2004 to explore investment opportunities in the area. We saw the potential in this region and worked to negotiate a successful partnership with Fort Reliance.

Together, we started the construction of Canaport LNG in September 2005. After four years of hard work, we received our first LNG ship and cargo in June of 2009 and became fully operational. Now that we have officially completed construction at the Terminal, I am proud to recognize the hard work and commitment of the local workforce, our employees and the community of Saint John.

With construction now behind us we have more reasons than ever to be thankful to the many people who continue to help us pioneer Canada’s first LNG receiving and regasification terminal.

The completion of the Canaport LNG Terminal not only serves to strengthen our reputation as a major long-term supplier to natural gas markets but further solidifies the Province of New Brunswick as an energy hub.

All of us at Canaport LNG have entered 2010 proud of the work we have accomplished over the last four years. We’ve been given the privilege to operate one of the safest, most technologically advanced facilities in the world and we look forward to a successful future in Saint John for many years to come. We continue to thank the Saint John Community for their support.

Adolfo AzcarragaGeNeRAL MANAGeRCANAPORT LNG

Adolfo AzcarragaGeNeRAL MANAGeR

To our Saint John Neighbours,

Safety & SecuritySafety and security are a top priority at Canaport LNG and we are committed to ensuring the health and safety of our employees and our local community. For that reason we have adopted and adhere to the highest Industry standards available.

The Terminal has numerous safety systems, including gas and fire detection and suppression systems, temperature detection, spill containment systems, emergency shutdowns, pressure release systems and an advanced communication system.

The Terminal has a state-of-the-art security system which is updated and tested regularly to ensure that the latest technologies are being used and the system is fully operational. Canaport LNG also maintains a highly trained Security Guard Force at the Terminal 24 hours a day,

7 days a week and uses one of the most technologically advanced perimeter detection system available.

Our employees are extensively trained and regularly tested in drills and simulations to ensure the highest level of readiness to prevent and minimize potential safety hazards. emergency/security drills are conducted on a quarterly and yearly basis.

As the first LNG import terminal in Canada, Canaport LNG seeks to establish a standard of providing the expected high quality natural gas using advanced technology, operating in a safe manner, utilizing efficient practices and championing rigorous standards for the benefit of all stakeholders.

Today, Canaport LNG celebrates the landmark achievement of completing Canada’s first LNG receiving and regasification terminal with the completion of the third LNG storage tank. With the capacity to hold 10 billion cubic feet (BCF) of natural gas, Canaport LNG now boasts the largest above ground LNG storage capacity in Canada and the U.S. Northeast.

“This is a significant moment for Canaport LNG, Saint John and the hundreds

of people who have been involved in the project,” says Adolfo Azcarraga, General Manager of Canaport LNG. “Without the commitment and support of the Saint John community and the hard work and effort on the part of the contractors and sub-contractors, this project would not have been possible. Now that Canaport LNG has completed construction at the Terminal, our commitment to safety remains our number one focus in our day to day operations”.

The successful completion of the Canaport LNG Terminal, the most technologically advanced LNG receiving and regasification terminal in the world, was accomplished through the expertise and vast experience of the Terminal’s engineering, Procurement, Construction (ePC) contractors. SNC-SNAM, G.P., a partnership between SNC-Lavalin Inc. and Snamprogetti Canada Inc., was awarded the ePC contract for onshore facilities and jetty topsides, providing full procurement and supervisory responsibilities for the onshore portion of the project while the Kiewit-Weeks-Sandwell Partnership (KWS), a consortium of Peter Kiewit Sons Co., Weeks Marine and Sandwell engineering was awarded the ePC contract for the Terminal’s offshore facilities, including the receiving jetty. The completion of this world-class terminal is a testament to the skill of both ePC contractors. The completion of the third LNG storage tank further strengthens Repsol’s ability to provide a reliable supply of natural gas to their customers and will also provide greater flexibility in the scheduling of LNG tankers making deliveries at the Terminal.

Copyright 2010 CanaporttM Lng LiMited partnership

I SSUE #9, MAY 2010

Canaport LNG Completes Third Storage TankJesus Chillon, Repsol’s Director of Operations & Projects says: “The completion of the Canaport LNG project solidifies Repsol’s reputation as a major natural gas supplier in the global LNG industry. Already able to berth the largest LNG tankers in the world, the completion of the third LNG storage tank enables Repsol to offer a more reliable and diverse natural gas supply to our customers and provides greater flexibility in meeting our customers’ needs throughout the year.”

Plans to construct the third tank were announced in September of 2007 with construction beginning in May of 2008. The third LNG tank was originally approved by the Provincial and Federal governments under the environmental Impact Assessment (eIA) completed on the project in August 2004. The addition of the third LNG storage tank meant more construction jobs for hundreds of local workers and continued work for contractors.

The construction of the Terminal created over 1,600 jobs at its peak of which 85 percent of the workers came from Saint John and New Brunswick.

Identical to the two existing full-containment tanks which were completed last year, the third tank consists of an inner tank made of high-performance nine per cent nickel steel and an outer tank made of cryogenic concrete 80 centimetres thick.

With this additional storage tank now complete, Canaport LNG is well positioned to be an important part of the Northeastern U.S. market. Already capable of berthing Q-Flex and Q-Max vessels, the largest LNG tankers in the world, Canaport LNG also has the storage capacity to handle these immense shipments. One Q-Max carrier holds 266,000 cubic metres of LNG which fills 55 percent of the Terminal’s capacity.

In the U.S. Northeast, Repsol has firm supply contracts with a number of sources that complement the operations at Canaport LNG. The facility is currently capable of supplying a maximum of 1.2 BCF of natural gas per day, enough to heat 5 million homes.

In This Issue:•Construction Completion•Safety & Security •In Our Community: Q-Flex Ship •In Our Community: Get FANAtical

M A Y 2 0 1 0 e d I T I O N

Canaport LNG Connections is our newsletter for neighbours of Canaport LNG and the Saint John Community. If you have suggestionsor comments about Canaport LNG Connections, please contact Kate Shannon at (506) 638-1311 or kshannonm@canaportlng.com

Canaport LNG participated in the second annual Pavilion Cup Pond Hockey at Lily Lake in February. Despite the freezing temperatures, the three Canaport LNG teams were cheered on by employees, family and friends, and had a great time at this year’s tournament. As a tournament sponsor, Canaport LNG helped support the event’s fundraising goal of sending local children to the Rockwood Park summer day camps, something they would not have been able to attend otherwise. This year’s tournament raised $52,000 making it possible for 200 children to enjoy camp this summer. The campaign also raised additional funds for an outdoor movie night in the park during the summer months and helped to introduce programs for persons with disabilities, making Rockwood Park and the Lily Lake Pavilion accessible for everyone.

The Saint John Sea Dogs and Canaport LNG launched the fourth season of their joint educational initiative, the ‘Get FANatical About Math’ Program on February 3rd.

Sponsored by Canaport LNG, this comprehensive program is designed to foster the math skills of students from kindergarten to grade eight in School District 6, District 8 and Samuel-de-Champlain school. Over 14,000 students are expected to participate in the program, which applies math principles to Sea Dogs hockey. This year, all lessons and activities are accessible online using Smart Board technology making the program more engaging and interactive for students. Both students and teachers who participate in the program are eligible to win prizes from Canaport LNG and the Saint John Sea Dogs. “Since the program began, participation has increased significantly and results have improved with each season, showing us that kids are responding to the material and are actively using the skills they learn,” said Get FANatical About Math Program developers, Derek & Krista McCallum.

Adolfo Azcarraga, General Manager of Canaport LNG, said his company is very proud to support the ‘Get FANatical About Math’ program.“This program is a great way to get students excited about math,” said Azcarraga. “Math is critical for any job choice and helping students further their math skills and become more comfortable using numbers in their everyday activities is very important to their success in both school and their future careers.”

Saint John Sea dogs and Canaport LNGLaunch the Get FANatical About Math Program

Canaport LNG began developing an environmental management system according to ISO 14001 standards and principles early in 2010 and is aiming to achieve this certification in 2012. The International Organization for Standardization (ISO) is a network of national standards institutes which together enable a consensus to be reached on solutions that meet both the requirements of business and the broader needs of the community. There are international standards on air, water, soil quality and emissions of gases among others which contribute to efforts to preserve the environment.

ISO 14001 is a standard for environmental management systems and its goal is to reduce the environmental footprint of a business and to decrease the pollution and waste that business produces, with the main goal of improving the overall environmental performance of the organization. ISO 14001 offers standards to be followed and is a source of guidance for introducing and adopting environmental management

ISO14001systems based on universal best practices. Organizations trying to reach the standard have to demonstrate that they have fulfilled five main requirements: setting up an environmental policy; policy planning; the implementation and operation of this policy; carrying out any necessary checking and corrective action; and periodic management review of the policy. The policy must provide a framework for setting and reviewing environmental objectives and targets and these objectives must be documented and communicated to all employees. In order to put this environmental policy into place, roles and responsibilities must be assigned to individuals who will ensure the policy is being implemented and maintained in accordance with the international standard.

Canaport LNG is committed to a continued and improved level of environmental performance and will be focused on achieving ISO 14001 certification in 2012.

Travelling 22 days and 15,000 kilometres from Ras Laffan Industrial City in Qatar, the Q-Flex MV Mesaimeer - one of the largest and most advanced vessels of its kind – arrived at Canaport LNG to deliver 4.6 BCF of Liquefied Natural Gas (LNG).

Canaport LNG Terminal in Saint John is among the very few terminals in the world that can accept a ship of the Q-Flex’s size. The Q-Flex is the world’s second largest LNG super tanker with a capacity that is roughly 55 per cent more than its predecessors and is more environmentally friendly with approximately 40 per cent lower energy requirements and carbon emissions than conventional LNG carriers.

To date the facility has hosted 22 LNG ships, three of which were Q-Flex vessels. The majority of LNG shipments received have been from Trinidad & Tobago but other sources have been through spot cargoes from egypt and Qatar and with the diverse portfolio Repsol holds, additional sources of supply are expected to be secured later this year. With this supply of LNG and the Canaport LNG facility capabilities, Repsol is able to provide a reliable and flexible supply of natural gas to the market.

In Our Community

The Joshua Group received an early Christmas gift from Canaport LNG in December with a donation of $10,000 towards their operations and programs for local Saint John youth. The Joshua Group is a non-profit group dedicated to improving the welfare of children and families in need. Its primary purpose is to help create a better quality of life for these children and families by aiming to improve their emotional, educational, medical, social and cultural well-being.

Canaport LNG employees also participated in an internal Christmas Campaign with Deloitte & Touche for The Joshua Group to collect winter coats, boots, hats and mittens for each child to ensure they were properly dressed for the winter weather. each company assisted with providing and volunteering at a Christmas dinner for the children where Santa Claus handed out a gift for each child.

Canaport LNG Sponsors The Joshua Group

Pavilion Cup Pond Hockeyat Lily Lake

One of the largest and most innovative LNG ships in the world arrived in Saint John.

The First Q-Flex on the eastern Seaboard Makes Its debut in Saint John

General Manager’s Message to the Community

As Canaport LNG celebrates its completion, I am celebrating a beginning in my new role as General Manager. I am very pleased to have been given the opportunity to lead operations and to continue to operate a safe and efficient terminal and I look forward to continuing to work with the Canaport LNG team and our partners.

I’ve been given the unique opportunity to be part of the Canaport LNG project from the beginning - when it was just an idea; to its planning and construction; and now its operations.

I first arrived in Saint John, New Brunswick, Canada in March of 2004 to explore investment opportunities in the area. We saw the potential in this region and worked to negotiate a successful partnership with Fort Reliance.

Together, we started the construction of Canaport LNG in September 2005. After four years of hard work, we received our first LNG ship and cargo in June of 2009 and became fully operational. Now that we have officially completed construction at the Terminal, I am proud to recognize the hard work and commitment of the local workforce, our employees and the community of Saint John.

With construction now behind us we have more reasons than ever to be thankful to the many people who continue to help us pioneer Canada’s first LNG receiving and regasification terminal.

The completion of the Canaport LNG Terminal not only serves to strengthen our reputation as a major long-term supplier to natural gas markets but further solidifies the Province of New Brunswick as an energy hub.

All of us at Canaport LNG have entered 2010 proud of the work we have accomplished over the last four years. We’ve been given the privilege to operate one of the safest, most technologically advanced facilities in the world and we look forward to a successful future in Saint John for many years to come. We continue to thank the Saint John Community for their support.

Adolfo AzcarragaGeNeRAL MANAGeRCANAPORT LNG

Adolfo AzcarragaGeNeRAL MANAGeR

To our Saint John Neighbours,

Safety & SecuritySafety and security are a top priority at Canaport LNG and we are committed to ensuring the health and safety of our employees and our local community. For that reason we have adopted and adhere to the highest Industry standards available.

The Terminal has numerous safety systems, including gas and fire detection and suppression systems, temperature detection, spill containment systems, emergency shutdowns, pressure release systems and an advanced communication system.

The Terminal has a state-of-the-art security system which is updated and tested regularly to ensure that the latest technologies are being used and the system is fully operational. Canaport LNG also maintains a highly trained Security Guard Force at the Terminal 24 hours a day,

7 days a week and uses one of the most technologically advanced perimeter detection system available.

Our employees are extensively trained and regularly tested in drills and simulations to ensure the highest level of readiness to prevent and minimize potential safety hazards. emergency/security drills are conducted on a quarterly and yearly basis.

As the first LNG import terminal in Canada, Canaport LNG seeks to establish a standard of providing the expected high quality natural gas using advanced technology, operating in a safe manner, utilizing efficient practices and championing rigorous standards for the benefit of all stakeholders.

Today, Canaport LNG celebrates the landmark achievement of completing Canada’s first LNG receiving and regasification terminal with the completion of the third LNG storage tank. With the capacity to hold 10 billion cubic feet (BCF) of natural gas, Canaport LNG now boasts the largest above ground LNG storage capacity in Canada and the U.S. Northeast.

“This is a significant moment for Canaport LNG, Saint John and the hundreds

of people who have been involved in the project,” says Adolfo Azcarraga, General Manager of Canaport LNG. “Without the commitment and support of the Saint John community and the hard work and effort on the part of the contractors and sub-contractors, this project would not have been possible. Now that Canaport LNG has completed construction at the Terminal, our commitment to safety remains our number one focus in our day to day operations”.

The successful completion of the Canaport LNG Terminal, the most technologically advanced LNG receiving and regasification terminal in the world, was accomplished through the expertise and vast experience of the Terminal’s engineering, Procurement, Construction (ePC) contractors. SNC-SNAM, G.P., a partnership between SNC-Lavalin Inc. and Snamprogetti Canada Inc., was awarded the ePC contract for onshore facilities and jetty topsides, providing full procurement and supervisory responsibilities for the onshore portion of the project while the Kiewit-Weeks-Sandwell Partnership (KWS), a consortium of Peter Kiewit Sons Co., Weeks Marine and Sandwell engineering was awarded the ePC contract for the Terminal’s offshore facilities, including the receiving jetty. The completion of this world-class terminal is a testament to the skill of both ePC contractors. The completion of the third LNG storage tank further strengthens Repsol’s ability to provide a reliable supply of natural gas to their customers and will also provide greater flexibility in the scheduling of LNG tankers making deliveries at the Terminal.

Copyright 2010 CanaporttM Lng LiMited partnership

I SSUE #9, MAY 2010

Canaport LNG Completes Third Storage TankJesus Chillon, Repsol’s Director of Operations & Projects says: “The completion of the Canaport LNG project solidifies Repsol’s reputation as a major natural gas supplier in the global LNG industry. Already able to berth the largest LNG tankers in the world, the completion of the third LNG storage tank enables Repsol to offer a more reliable and diverse natural gas supply to our customers and provides greater flexibility in meeting our customers’ needs throughout the year.”

Plans to construct the third tank were announced in September of 2007 with construction beginning in May of 2008. The third LNG tank was originally approved by the Provincial and Federal governments under the environmental Impact Assessment (eIA) completed on the project in August 2004. The addition of the third LNG storage tank meant more construction jobs for hundreds of local workers and continued work for contractors.

The construction of the Terminal created over 1,600 jobs at its peak of which 85 percent of the workers came from Saint John and New Brunswick.

Identical to the two existing full-containment tanks which were completed last year, the third tank consists of an inner tank made of high-performance nine per cent nickel steel and an outer tank made of cryogenic concrete 80 centimetres thick.

With this additional storage tank now complete, Canaport LNG is well positioned to be an important part of the Northeastern U.S. market. Already capable of berthing Q-Flex and Q-Max vessels, the largest LNG tankers in the world, Canaport LNG also has the storage capacity to handle these immense shipments. One Q-Max carrier holds 266,000 cubic metres of LNG which fills 55 percent of the Terminal’s capacity.

In the U.S. Northeast, Repsol has firm supply contracts with a number of sources that complement the operations at Canaport LNG. The facility is currently capable of supplying a maximum of 1.2 BCF of natural gas per day, enough to heat 5 million homes.

In This Issue:•Construction Completion•Safety & Security •In Our Community: Q-Flex Ship •In Our Community: Get FANAtical

M A Y 2 0 1 0 e d I T I O N

Canaport LNG Connections is our newsletter for neighbours of Canaport LNG and the Saint John Community. If you have suggestionsor comments about Canaport LNG Connections, please contact Kate Shannon at (506) 638-1311 or kshannonm@canaportlng.com