Western LNG CEO: Canada's proposed Ksi Lisims LNG plant in talks with'several utilities' to supply LNG to Europe

The CEO of Houston's Western LNG, which is the main proponent of the project said that the proposed Canadian?Ksi?Lisims LNG Export Facility has been in contact with several European utilities who are interested in buying liquefied gas from the West Coast of Canada. Davis Thames stated that Ksi Lisims is expecting to announce more agreements "shortly" after a deal to supply Germany's SEFE, the state-owned energy company.

He said Ksi Lisims - which currently has a total of 12 million tons planned capacity allocated - wants to'secure offtake agreements for 3 to 4 additional million tons before making a final decision on investment to start construction. He said that the project is expected to reach this level of contracted production capacity by summer.

Asia has long been considered a logical market for Canadian Liquefied Natural Gas (LNG) due to its shorter shipping time to Asia from Canada's Pacific Coast as compared to the U.S. Gulf.

WAR RESHAPE LNG Export Strategy

Thames explained that the wars in Iran, Ukraine and Syria have caused European customers to reconsider Canada. They would never have done so before.

"Things have changed." "Given the current state of facts, I can really see why these buyers want Canadian LNG," said he.

If Ksi Lisims is built, it would be Canada's largest liquefied gas export facility. It has already secured deals with Shell and Total.

The project proponents have yet to secure funding, but they've said that a final decision on investment could be made within months.

Thames stated, "If this is done correctly and we stick to the schedule, I believe we will be ready to start construction at the end of the current year."

Ksi Lisims, in addition to Western LNG is also backed by a group of Canadian natural-gas?producers, called Rockies LNG. The Nisga’a?First Nations, which owns land for the project, are also involved.

However, several Indigenous groups are challenging the pipeline required to supply this facility. Meanwhile, environmentalists are criticizing Canada's recent shift towards fossil fuels.

(source: Reuters)