Source: Canada will sign a deal with Germany's SEFE to purchase Ksi Lisims Liquefied Natural Gas.

According to a source in the industry, Canada will sign a large LNG agreement with Germany's SEFE?for liquefied gas from the Ksi?Lisims planned LNG export facility?on the coast?of?British Columbia.

Tim Hodgson will announce the agreement in Vancouver on Wednesday. Ksi Lisims supporters have been working hard to finalize contracts before making a final investment decision expected this year.

Ksi Lisims and the Natural Resources Ministry of Canada, SEFE, declined to comment.

Bloomberg was the first to report?the plans.

Shell and TotalEnergies already have 20-year LNG Purchase Agreements with Ksi Lisims.

The 'Ksi Lisims' facility was proposed by Houston's Western LNG and a consortium of Canadian gas producers, Rockies 'LNG. They also own the 'land' for the project. It will have a 12 million tonnes per year capacity, making it Canada’s second largest LNG export facility.

SEFE (Securing Energy for Europe) was nationalised in Germany by Germany for 6.3bn euros in 2022, after its former parent Gazprom abandoned the business due to Europe's energy crisis.

The company, like Uniper, is responsible for diversifying Germany's supply of energy, particularly in light of the Middle East conflict, which has heightened European interest in energy safety.

SEFE has already signed a number of LNG agreements, including with Venture Global in the U.S., Southern Energy S.A., and Turkey's BOTAS state energy company. Last month, it was reported that European buyers, such as Germany's Uniper are looking into the possibility of buying liquefied gas from Canada's Pacific coast and shipping it via the Panama Canal. This is part of a long-term plan to diversify the supply.

(source: Reuters)