Petronas-Backed LNG Canada Prepares C$30 Billion Expansion

Petronas-backed LNG Canada is planning to proceed with a massive C$30 billion expansion, which could double its annual liquefied natural gas (LNG) production capacity to as much as 30 million tonnes.

The project's partners are expected to announce plans to move forward with the expansion amid rising global demand for LNG. Petronas holds a 25% stake in LNG Canada, while Shell is the largest shareholder with 40%. PetroChina Co Ltd and Mitsubishi Corp each hold 15%, and Korea Gas Corp owns the remaining 5%.

The proposed expansion comes after the facility loaded its first export cargo in June 2025. Currently, LNG Canada has an annual production capacity of about 14 million tonnes. Petronas' president and group chief executive officer Tengku Tan Sri Muhammad Taufik said that the partners were keen to advance the expansion and were working on its engineering and costs.

The final investment decision for LNG Canada Phase 2 was expected in 2026, according to Petronas. The facility is located in Kitimat, British Columbia, and it's the country's first large-scale LNG export terminal and its largest private-sector investment.