LNG Canada

Last updated on January 31, 2023

LNG Canada announced a final investment decision on October 1, 2018.

The export project is a joint venture partnership between Shell, PETRONAS, PetroChina, Mitsubishi Corporation and KOGAS.

Natural gas supply will come from the Montney basin in northeast British Columbia. The Coastal GasLink pipeline will transport natural gas from the Dawson Creek area to the export facility in Kitimat. After natural gas is converted into a liquid form at the export facility it will be shipped to Asia.

Direct benefits of the LNG Canada project include:

  • $24 billion of direct private-sector investments in British Columbia
  • Up to 10,000 jobs for people during construction and 950 permanent jobs once operations are underway
  • Approximately $23 billion in new government revenues over the life of the project – new resources for health care, schools, child care and other government-supported services.
  • Significant funding for First Nation capacity building, training and education, contracting and employment, and community contributions

LNG Canada has also committed to making its Kitimat facility the world’s cleanest in terms of greenhouse gas emissions intensity, supporting British Columbia’s CleanBC commitments.

As of early 2020, LNG Canada is preparing the site for construction and building their workforce accommodation centre, Cedar Valley Lodge.

Environmental Assessment

The LNG Canada export facility received an environmental assessment certificate on Jun 17, 2015.

There were 24 conditions imposed on the approval by the provincial government - legally-binding conditions LNG Canada must implement to remain in compliance with their certificate and ensure environmental impacts are mitigated.

Compliance and enforcement procedures, as they relate to LNG Canada, are conducted by the Environmental Assessment Office.

More details about the Environmental Assessment Office, the environmental assessment process, and LNG Canada’s certificate can be found on the Environmental Assessment Office’s project site here.

Permitting and facility approval

The BC Oil and Gas Commission approved LNG Canada’s application for an export facility on December 22, 2015.

The permit provides LNG Canada with approval to construct, maintain and operate their export facility in Kitimat. The permit includes 30 conditions for LNG Canada to implement as part of their safety program, emergency response procedures, mitigation measures and more.

The BC Oil and Gas Commission will oversee construction and operations throughout LNG Canada’s entire life-cycle.

More details about the BC Oil and Gas Commission and their role in the permitting process can be found on the major projects site here.

Benefits Agreements

British Columbia has natural gas benefits agreements in place with First Nations as part of the provincial government’s comprehensive approach to partnering on LNG Canada and the opportunities it creates, including skills training and environmental stewardship projects.

More details, including links to all agreements signed, are available on the Ministry of Indigenous Relations and Reconciliation’s website here.