Canada Imports Australian Gas Amidst Pipeline Debates

An LNG tanker has begun its journey to Eastern Canada from Australia after traveling over 25,750 kilometers, marking a rare trade route driven by weak Asian demand and buyers seeking better returns elsewhere.

This unusual import of super-chilled fuel is ironic given that the region already hosts an LNG import terminal in Saint John, New Brunswick, which operates far below its capacity. The terminal exists due to a lack of direct pipeline link to western Canadian gas, with discussions between TC Energy and Repsol still in their 'nascent stage'.

New Brunswick's Natural Resources Minister John Herron has been promoting the idea of extending existing pipeline infrastructure eastward, which would allow Saint John to ship LNG overseas. This concept is estimated to require $4 billion to $5 billion in investment, with potential resistance from communities and First Nations along the route.