Canada Inks Historic Deal with Uniper for European LNG Sales

Ksi Lisims LNG has signed a 20-year supply deal with German energy company Uniper, marking Canada's first binding long-term contract to export liquefied natural gas directly to Europe.

The agreement, announced by Jill McKnight on behalf of Energy Minister Tim Hodgson, will see Uniper purchase two million tonnes per annum of LNG starting in 2032 for delivery to customers in Germany, the United Kingdom, Sweden, and the Netherlands.

Ksi Lisims LNG is a $30-billion project that would become Canada's second-largest LNG complex after LNG Canada. The project has been referred to the federal Major Projects Office for fast-tracking and is expected to contribute $15 billion to Canada's gross domestic product.

The deal comes less than two months after the federal government announced a memorandum of understanding with Secure Energy For Europe, another German gas trader, for one million tonnes per annum of Ksi Lisims LNG.