LNG Canada approves $33-billion Phase 2 expansion

LNG Canada’s partners have made a final investment decision on a second phase of the Kitimat, British Columbia, liquefied natural gas terminal, the federal government announced September 29.

The expansion represents about $33 billion in private investment and is designed to double the terminal’s capacity to 28 million tonnes of LNG a year. Ottawa says the construction phase is expected to support more than 4,000 jobs.

TC Energy has also made a final investment decision on the second phase of the Coastal GasLink pipeline. Construction is scheduled to begin next year, with the federal announcement projecting more than 2,000 jobs.

LNG Canada’s partners are Shell, PETRONAS, PetroChina, Mitsubishi Corporation and Korea Gas Corporation. The project includes an option for participating Indigenous communities to invest up to $1 billion in the second LNG storage tank. The capacity, job and emissions claims remain projections attached to the expansion plan rather than completed outcomes.

Source: official release dated September 29, 2026.

Illustrative stock image; not the reported event. Photo by Julia Taubitz on Unsplash.