Shell’s LNG Canada expansion project to get boost from government

According to a statement issued last week, Carney included LNG Canada Phase 2 in Kitimat on his list of the first five “major projects” his government would help fast-track.

The statement noted that this project will double LNG Canada’s production of LNG, making it the second-largest facility of its kind in the world.

“It is expected to attract significant private-sector capital to Canada, contribute to our GDP growth, and support jobs and economic growth in local communities,” the statement said.

Moreover, it will “diversify our trading partners and meet increasing global demand for secure, low-carbon energy with Canadian LNG, contributing to worldwide energy security by increasing the supply of available natural gas for Asian and European partners,” the statement said.

A joint venture of US engineer Fluor and Japan’s JGC recently won the contract to update the front-end engineering and design (FEED) for the proposed Phase 2 expansion of the Shell-led LNG Canada project.

LNG Canada recently shipped the tenth cargo of LNG from its Kitimat facility on the west coast of Canada.

The project is a joint venture between Shell, Petronas, PetroChina, Mitsubishi Corporation, and KOGAS.

It is Canada’s first large LNG export facility.

One of the largest private investments in Canadian history, the plant will initially produce 14 million tonnes per annum (mtpa) LNG for export.

With a proposed Phase 2 expansion, Shell and its partners plan to double the terminal’s capacity to 28 mtpa.