LNG Canada contractors prepare for proposed Phase 2 expansion

Contractors who worked on the first phase of LNG Canada say they got the greenlight to begin preparations for the site’s proposed Phase 2 expansion. 

Japan’s JGC Corp. and Texas-based Fluor Corp. said Tuesday they had received limited notice to proceed for the project in Kitimat, British Columbia. 

LNG Canada’s international joint owners are expected to make a final investment decision by the end of this year. 

“The LNTP enables us to initiate early planning and move forward with key activities to support a proposed Phase 2 final investment decision by LNG Canada,” said Pierre Bechelany, Fluor’s business group president of energy solutions.

Phase 2 is on the B.C. government’s list of priority projects and was referred by Prime Minister Mark Carney to the federal Major Projects Office for potential fast-tracking. 

LNG Canada Phase 1 has the capacity to export 14 million tonnes of liquified natural gas per year, and began making its first shipments to Asia in June 2025. 

The $33 billion expansion project would add two LNG processing trains to the site’s existing infrastructure. It’s expected to double LNG Canada’s production of LNG by the early 2030s.  

The provincial and federal governments and LNG Canada said Thursday they reached an agreement on “enhanced investment co-operation and actions” to help move the project toward a final investment decision this year. 

They said the project’s joint partners had agreed to approve hundreds of millions of dollars in incremental funding to help finalize work on a potential decision.

Phase 2 is also reliant on a proposed expansion of the Coastal GasLink pipeline to deliver gas from northeastern B.C. The project would add six additional compressor stations to the current 670-kilometre line, doubling its capacity.

Emily Joveski
Emily Joveski
Emily Joveski is the provincial news reporter for Vista Radio, based in Victoria B.C. She has worked in radio for more than a decade, and was previously on the airwaves as a broadcaster for The Canadian Press in Toronto. When she's not at her desk, she might be found exploring Vancouver Island or loitering in a local book store.

Continue Reading

- Advertisement -

Related Articles

- Advertisement -

Latest News

B.C. NDP pledges millions for clean energy and climate programs

The B.C. NDP is promising millions of dollars in new investments in clean energy and climate programs if re-elected, while warning a Conservative government would roll back environmental protections. 

First Nations leaders call on B.C. Conservatives to drop candidate over alleged residential school denialism

First Nations leaders are calling on the B.C. Conservatives to remove a candidate over allegations of residential school denialism.

Prices see little movement as Vancouver Island real estate turns to buyers’ market

The Vancouver Island Real Estate Board recorded 13 per cent fewer home sales in September than a year earlier, while benchmark prices remained relatively stable.

Eby defends family’s use of $10-a-day childcare program

B.C. NDP Leader David Eby is facing criticism after confirming his family benefited from a $10-a-day child care program his government froze to new providers.

Great BC Shakeout encourages earthquake preparedness this week

Vancouver Island and Sunshine Coast residents can take part in the Great BC ShakeOut earthquake drill this week.
- Advertisement -