Canada is pursuing a second attempt to become a major liquefied natural gas (LNG) exporter, with the LNG Canada project now operational and six more projects under development, potentially representing $109 billion in capital investment. This renewed push is driven by political will to bolster the economy and diversify exports, but Canada faces competition from the U.S. and concerns from environmental activists and community groups regarding infrastructure development and climate impact. Many new projects involve Indigenous ownership or partnerships.
Canada is getting a second shot at becoming a major LNG player
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TL;DR: Key points with love ❤️Canada is pursuing a second attempt to become a major liquefied natural gas (LNG) exporter, with the LNG Canada project now operational and six more projects under development, potentially representing $109 billion in capital investment. This renewed push is driven by political will to bolster the economy and diversify exports, but Canada faces competition from the U.S. and concerns from environmental activists and community groups regarding infrastructure development and climate impact. Many new projects involve Indigenous ownership or partnerships.
Trending- 1 A decade ago: A promised boom in the liquified natural gas industry failed to materialize in Canada.
- 2 2016: The U.S. began ramping up its LNG exports.
- 3 Currently: The LNG Canada project is now up and running.
- 4 Later this year: The Nisga'a Nation hopes to make a final investment decision on Ksi Lisims LNG.
- 5 Next year: Nisga'a Nation is optimistic about breaking ground on their LNG project.
- 6 As early as 2029: The first vessel could come up the river to pick up the first shipments from the Nisga'a project.
- 7 Through 2050: Demand for natural gas is expected to grow 70 to 80 percent.
- Potential $109 billion in capital investment
- Bolstered Canadian economy
- Diversified exports
- Increased competition with the U.S. in LNG export
- Concerns from community groups and environmental activists
- Potential protests and legal challenges against pipeline approval
- Concerns about impact on local watershed and salmon population
- Uncertainty about the role of gas in the energy space beyond 5-10 years
What: Canada is making a renewed effort to become a major liquefied natural gas (LNG) exporter, with the LNG Canada project operational and several new projects proposed, many with Indigenous partnerships.
When: A decade ago (failed boom); now (LNG Canada running); next few years (Ksi Lisims LNG); later this year (Ksi Lisims final investment decision); 2016 (US LNG exports ramped up); 2050 (demand for natural gas expected to grow).
Where: Canada (specifically British Columbia, Northwest coast); United States (Gulf Coast, Alaska); Asia (target market); Gingolx, Nass River; Kispiox, Skeena River.
Why: Renewed political appetite to build major infrastructure, bolster the Canadian economy, diversify exports away from the U.S.; global demand for natural gas is expected to grow; Canada has significant natural gas reserves and a quick route to Asia.
How: Developing new LNG projects (e.g., Ksi Lisims LNG), with significant capital investment and Indigenous ownership/partnerships; Ottawa, B.C., and Ontario passing legislation aimed at speeding up major projects.