Canada’s proposed Ksi Lisims LNG export terminal has received environmental approval from federal and provincial authorities, marking a major step toward a final investment decision expected by the end of the year.
The liquefied natural gas (LNG) project, to be built near Gingolx on British Columbia’s north-west Pacific coast, has been granted an environmental assessment certificate that clears the way for construction to commence should the decision proceed as planned.
Ksi Lisims LNG is being co-developed through a partnership between Western LNG, Rockies LNG and the Nisga’a First Nation, which owns the land where the terminal will be located.
With an estimated capacity of 12 million tonnes per annum, it could become Canada’s second-largest LNG export facility after LNG Canada, which began operations earlier this year, according to Reuters.
Western LNG founder, president and CEO Davis Thames described the approval as an affirmation of the project’s strategy.
He said: “This is a significant achievement for Ksi Lisims LNG and a testament to the strength of our innovative development model.
“It shows what is possible when a strong partnership between co-developers is matched with one of the most environmentally advanced designs in the world.
“Our team is now focused on turning our vision into real benefits for communities in north-west BC.”
The floating terminal, expected to be operational by 2029, is designed to run on renewable hydroelectricity and use offshore platforms to minimise environmental impact.
But reports suggest there is uncertainty over whether BC Hydro can deliver the required power capacity on time.
Construction could begin later this year if the FID is approved.
Rockies LNG president Charlotte Raggett highlighted the project’s potential economic and strategic value, stating: “Ksi Lisims LNG is a game-changing opportunity for Canada: one that advances our shared goals of becoming an energy superpower, building economic resilience and keeping our industry strong for the long term.
“The approval of this project is a defining moment: now is the time for us to come together and deliver on this vision.
“Our producers stand ready to seize this unique opportunity to secure the success of our sector and our country.”
The terminal’s location is expected to provide logistical benefits by cutting shipping times to Asian markets compared with routes from the US Gulf Coast.
Buyers, including Shell and TotalEnergie,s have already entered into 20-year purchase agreements with Ksi Lisims LNG, ensuring long-term market demand.
The project will be supplied through the Prince Rupert Gas Transmission pipeline, a 900-kilometre link carrying natural gas from north-east BC to the Nisga’a treaty lands.
Eva Clayton, president of the Nisg̱a’a Lisims government, said the development underscores the role of Indigenous leadership in shaping Canada’s energy future.
“This milestone reflects the strength of indigenous leadership and our commitment to sustainable economic self-determination.
“Ksi Lisims LNG represents a transformational opportunity for all participating BC. nations, and it will be developed in line with our Nation’s high environmental standards.
“This is what reconciliation looks like: a modern Treaty Nation once on the sidelines of our economy, now leading a project that will help write the next chapter of a stronger, more resilient Canada.”
