Canada and BC approve Ksi Lisims Liquefied natural gas project on Pacific Coast

The federal government of Canada and the province British Columbia have approved Ksi LNG, a project to build a liquefied gas export terminal on Canada's northwest Pacific Coast.

The Canadian government, under the leadership of Prime Minister Mark Carney, aims to speed up the construction and completion of natural resources projects in order to increase the economy's potential impact from U.S. Tariffs.

The approval granted on Monday officially authorizes Ksi Lisims in accordance with the Impact Assessment Act. This is the comprehensive regulatory framework that governs all major infrastructure projects across Canada.

The project's supporters - Houston-based Western LNG, a Canadian consortium of natural gas producers named Rockies LNG, and the Nisga'a First Nation who owns the land on which the Ksi Lisims location is located - could make a final investment decision by the end of this year.

Construction could start this year at the site located in B.C. The site, located on B.C.'s north-west coast near the Gingolx community, will be operational by 2029.

Ksi Lisims, with a capacity of 12,000,000 tons per annum, could be Canada's second largest liquefied gas export terminal after Shell-led LNG Canada which started operations in this year.

The facility will be powered by renewable energy, according to its proponents.

Still, B.C. Hydro's ability to meet the renewable energy needs of the project by the target date is still uncertain.

Shell and TotalEnergies signed 20-year LNG agreements with Ksi Lisims. The company's Pacific Coast location allows for faster shipping to Asian markets compared to competitors from the U.S. Gulf Coast.

The construction of the 900 km Prince Rupert Gas Transmission Pipeline, which will transport gas from the Shale fields in northeast B.C. The Ksi Lisims plant.

(source: Reuters)