Shell-led consortium gives green light to LNG Canada expansion

  • Shell and its partners approved a C$33 billion Phase 2 expansion of LNG Canada.
  • The expansion will raise LNG Canada's export capacity from 14 mtpa to 28 mtpa.
  • Shell expects nearly 6 mtpa of additional LNG when operations begin in the early 2030s.

Shell Canada Energy and its partners have approved a C$33 billion investment in Phase 2 of LNG Canada in Kitimat, British Columbia, doubling the facility's production capacity from 14 million tonnes per annum to 28 million tonnes. The project will add two liquefaction trains, storage and loading infrastructure, and expanded capacity on the existing 670-kilometre Coastal GasLink pipeline. Shell, which owns 40% of the joint venture, expects to receive nearly 6 million tonnes of additional LNG annually when commercial operations begin in the early 2030s. Prime Minister Mark Carney said the investment would make LNG Canada the world's second-largest facility of its kind. LNG Canada is Canada's first large-scale LNG export terminal and is among the country's largest private-sector investments, providing Western Canadian gas with a route to Asian and other international markets.

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