OTTAWA — Prime Minister Mark Carney says a $33-billion expansion of LNG Canada is proof the country can once again move quickly on major energy projects, as BC Premier David Eby credited a “step change” in Ottawa's approach since Carney took office.Carney was in Vancouver Tuesday to mark the final investment decision for Phase 2 of LNG Canada, which will double the Kitimat facility's production capacity from 14 million to 28 million tonnes of liquefied natural gas annually.“What a project. What a partnership. What a great day for Canada,” Carney said.“Canada is working. Canada's building big again.”The federal government expects the expansion to attract $33 billion in private-sector capital. LNG Canada says the project could generate more than $50 billion in government revenues over its lifetime.Phase 2 will add two LNG processing trains, another storage tank and loading berth, along with other infrastructure at the Kitimat facility..TC Energy is also moving ahead with an expansion of the Coastal GasLink pipeline, which transports natural gas from northeastern BC and Alberta to the terminal.Carney said the pipeline expansion will double its capacity and create another 2,000 jobs while “maximizing the value of the Western Canadian sedimentary basin, one of the world's most prolific natural gas basins.”LNG Canada estimates Phase 2 itself will create as many as 4,000 construction jobs at its peak, while the Coastal GasLink expansion is expected to require roughly 2,100 workers.Carney used the investment to make a broader argument about his government's effort to speed up major project approvals.“The speed of this project shows that now when Canadians want something built, we get it built,” he said.LNG Canada Phase 2 was referred to Ottawa's Major Projects Office last September.“One office, one point of contact, one goal. Get to the right decision, the right decision, as rapidly and efficiently as possible,” Carney said.“Twelve months from referral to final investment decision is the pace that this pivotal moment in Canada's history demands.”The federal and BC governments reached an agreement with LNG Canada in May aimed at clearing the remaining hurdles to a final investment decision. At the time, the project's partners had already approved hundreds of millions of dollars for engineering, First Nations agreements and other work needed to move toward construction.Eby went further Tuesday, crediting the change in federal leadership with helping move the project forward..LNG Canada approves Kitimat expansion to double export capacity.“There was a step change in the approach of the federal government to this project when this Prime Minister came on board,” Eby said.“There was a marked departure, an understanding of the importance of this project for British Columbia and Canada.”Eby thanked Carney for referring the expansion to the Major Projects Office and “giving this project the attention it deserves.”The project is being developed by a consortium consisting of Shell, Petronas, PetroChina, Mitsubishi and Korea Gas Corporation. Shell owns the largest stake at 40%.Carney also presented the expansion as part of Canada's effort to diversify its energy exports away from its traditional dependence on the United States.“Each cargo that is sent from Kitimat strengthens the security of our allies and makes Canada more resilient and more prosperous as well,” he said.Carney said the economic environment surrounding the investment is considerably different from when LNG Canada's partners first committed to the project in 2018.Today's decision, he said, comes in “a more dangerous and divided world” where Canada increasingly values “export diversification and the greater sovereignty that it confers.”“We have what the world wants,” Carney said. “Canada is a reliable and trusted partner. We're delivering big again. We're building big, building fast.”
