Ksi Lisims LNG Secures Major Supply Deal with Uniper
The Ksi Lisims LNG project has secured a major supply deal with German utility Uniper. The agreement will see Western LNG, the lead developer and future operator of Ksi Lisims, provide up to 12 million tonnes of liquefied natural gas (LNG) per year for 20 years.
Uniper has 18.5 gigawatts of power-generating capacity and is a significant importer of LNG in northwestern Europe. The German government took control of the company during the 2022 energy crisis, but it's now being privatized.
The Ksi Lisims project, located on Pearse Island near the Alaska border, will be Canada's second-largest LNG facility once completed. It has an estimated capital cost of $30 billion and is expected to account for around 13% of Canada's total natural gas exports by the early-to-mid 2030s.
David Thames, head of Western LNG, stated that Canada has a 'world-class' natural gas resource, which can be developed responsibly with low emissions. However, Richard Brooks, climate finance director at Stand.earth, criticized the deal as a 'major step backwards for climate action.'