Enbridge’s $4 bn LNG pipeline gets federal approval

The Canadian government has given the greenlight to infrastructure firm Enbridge to expand an existing natural gas pipeline in British Columbia, national media agency CBC reported on April 24.

The project comes with a price tag of $4 bn and will add 300 mn cubic feet (8.5mn cubic metres) per day of transportation capacity to Enbridge’s Westcoast system. Currently, the natural gas pipeline has a capacity of 3.6 bn cubic feet (102 mn cubic metres) per day.

The Sunrise project will add 140 km of new pipelines with the construction of 11 looping segments parallel to the current line that connects northeastern British Columbia to the border town of Sumas in southwestern, British Columbia. The Westcoast gas pipeline currently stretches 2,953 km.

The project will strengthen energy security in British Columbia by ensuring adequate natural gas supplies for the country’s burgeoning LNG export sector. In particular, Woodfibre LNG, located in Squamish, will benefit by having ample natural gas feedstock.

The pipeline expansion is expected to be in service by late 2028. Importantly, when the Sunrise project is combined with Enbridge’s other expansion projects Northern Aspen Point and Birch Grove lines, transport of natural gas to the province’s LNG export terminals across the west coast will be significantly improved.

The news of improved natural gas feedstock for west coast LNG projects comes at a critical time. LNG Canada, which has been named to Prime Minister Mark Carney’s major projects list is expected to take a final investment decision (FID) on its Phase 2 addition later this year or in early 2027.

Similarly, Ksi Lisims, a $10 bn proposed LNG facility also on Carney’s major projects list is expected come online in 2029 if a positive FID is taken. Woodfibre LNG is forecast to be operational in 2027.