Germany Seeks More Canadian LNG Amid Geopolitical Tensions

Germany's foreign minister, Johann Wadephul, has expressed interest in importing more liquified natural gas (LNG) from Canada. In an interview with CTV Question Period, he stated that 'of course' there is a market for Canadian LNG in Europe. Germany is looking to diversify its energy supply due to geopolitical tensions, particularly with Russia's war on Ukraine.

The minister emphasized the importance of speedily changing the country's energy infrastructure to renewable systems, but noted that this process will still take time. He also acknowledged the need for gas and called LNG a 'very needed source.' Wadephul suggested that Canada could work with Germany on renewable energy technology, citing a 2022 deal between the two countries.

Germany has already signed an agreement to purchase one million tonnes per annum of LNG from Ksi Lisims LNG in British Columbia's West Coast for up to 20 years. This deal is expected to begin deliveries by the early 2030s. Industry sources have also indicated that an announcement on expanding LNG Canada Phase 2, which will double production, is imminent.

European officials, including Greece and Poland's leaders, have previously expressed interest in Canadian LNG. The German minister's comments follow a recent deal between Canada and Germany to purchase one million tonnes per annum of LNG for up to 20 years.