September 29, 2026

On September 29, 2026, the LNG Canada Expansion Project reached a Final Investment Decision (FID). The expansion of the LNG Canada project would double LNG exports from Kitimat, B.C., to overseas markets. LNG Canada is a joint venture comprising Shell, Petronas, PetroChina, Mitsubishi Corporation, and Korea Gas Corporation.

Completion of the Phase 2 expansion would increase LNG Canada’s natural gas demand by approximately 1.8 Bcf/d by 2030. In 2025, total Western Canadian dry natural gas demand was 20.3 Bcf/d, including demand from LNG Canada Phase 1. The project is expected to contribute billions of dollars to the Canadian economy.

The expansion includes the construction of new liquefaction facilities at the existing site in Kitimat, B.C. In addition, the 670-kilometre Coastal GasLink pipeline will need to be expanded through the construction of five new compressor stations across northern B.C.

LNG Canada is not the only LNG export project on Canada’s Pacific West Coast. Figure 1 shows the current LNG projects.

Figure 1. LNG Projects on the West Coast

Other LNG projects on the West Coast include:

• Cedar LNG, a proposed floating LNG facility, is the world’s first Indigenous majority-owned LNG facility. The project reached FID in June 2024 and is expected to enter service in late 2028. Its planned capacity is 3.3 mtpa.
• Woodfibre LNG, located in Squamish, B.C., is approximately 60% complete. The project will use electric-drive liquefaction technology, is 30% owned by Enbridge Inc., and will have a capacity of 2.1 mtpa.
• Tilbury LNG is an expansion of an existing FortisBC peak-shaving facility. The Phase 2 expansion has been approved, with construction expected to begin in 2027. The expansion would bring total capacity to 3.4 mtpa.
• Ksi Lisims LNG is a proposed 12 mtpa LNG project currently under development and subject to B.C.’s net-zero CleanBC requirements. Offtake agreements covering 8 mtpa have been signed, all subject to project FID and construction: Shell – 2 mtpa, TotalEnergies – 2 mtpa, Uniper – 2 mtpa, SEFE – 1 mtpa, and Santos – 1 mtpa. The new PRGT pipeline would need to be constructed to connect the Montney region in B.C. with Ksi Lisims LNG.
• Blue Ocean LNG is planned for Stewart, B.C., near Ksi Lisims LNG. The project intends to use the PRGT pipeline, with a short spur from Cranberry Junction to Stewart. The planned initial capacity is 12 mtpa, scalable to 24 mtpa. The project is targeting FID in 2029 and an in-service date of 2032.
  Figure 2 shows the natural gas production requirements needed to support all approved LNG projects.

Figure 2. Canadian LNG Export Growth