CPABC Industry Update Summer 2014 - Page 11

made? To secure a contract, do sales calls get made in Canada, Houston, or somewhere in Asia? What is the timing of the spend? Will global procurement practices and world-class best practices in areas such as “modularization” leave room for BC content? And, will wage inflation zap profit margins both for the project owners and contractors? Another challenge to those assessing an investment in a Canadian LNG project is the ongoing chess game around how LNG cargos will be priced. LNG buyers are holding out for supply contracts that break – or at least modify – the traditional oil-indexed-linked contracts. Sellers