Canada pledges to accelerate four LNG projects

Canada and the provincial government of British Columbia inked a cooperation agreement to speed up development of four large LNG projects, the Prime Minister’s Office announced on July 2.

The Canada-British Columbia Cooperative Prosperity Agreement is aimed to boost the province’s exports of natural resources and has earmarked making progress on LNG exports as a key objective. The two governments will enhance cooperation to speed up the development of LNG Canada Phase 2, Ksi Lisims LNG, Cedar LNG, and Woodfibre LNG.

Under the terms of the agreement, Ottawa has committed to collaborating with project proponents, First Nations groups, and local communities to streamline financing, permitting, and construction of the facilities.

Canada and British Columbia have agreed to accelerate the development of four major liquefied natural gas export projects as part of a broader agreement aimed at expanding energy exports and strengthening the country’s trade infrastructure.

Commitments were also made to increase electricity transmission and expand port infrastructure.

Canada is in the midst of ramping up its nascent LNG exports industry as it seeks to diversify its trade partners and reduce dependence on the US, particularly amid trade and tariff threats by US President Donald Trump.

The country’s flagship project, LNG Canada, shipped its first  cargo in late June 2025 to South Korea. One year on, LNG Canada, which has a production capacity of 14 mn tonnes per year (tpy), has now delivered over 100 cargoes of the super-chilled fuel to buyers.

The project’s second phase, which would double production to 28 mn tpy, has been named to Prime Minister Mark Carney’s Major Projects list, which his government has designated to fast-track as a nation-building project.

The Ksi Lisims facility is also on Carney’s Major Projects list. Two supply deals were recently signed with Germany’s Uniper and Securing Energy for Europe (SEFE). A final investment decision (FID) is expected to be taken shorty and construction on the facility could begin by as early as 2027.

Cedar LNG took a positive FID on its first floating export terminal with a production capacity of 3mn tpy in June 2024. It is expected to come online in 2028.

Woodfibre LNG completed 65% of construction in March. The 2.1 mn tpy project is scheduled to be completed in 2027.