Energy infrastructure expands in Canada via LNG and NGL projects

Partners in the Shell-led LNG Canada project may reach a final investment decision on a Phase 2 expansion as early as October. The expansion aims to add 14 million metric tons per annum of liquefied natural gas export capacity at the Kitimat, British Columbia facility, which would effectively double the project’s total capacity to 28 mtpa.

In a separate development in Alberta, Wolf Midstream has greenlit a $500 million expansion of its natural gas liquids (NGL) network. This investment, part of a larger $1.5 billion series of NGL North investments, will increase natural gas processing capacity by approximately 0.6 billion cubic feet per day and raise NGL production capacity to about 110,000 barrels per day.

Both projects reflect broader trends in Western Canada to expand energy export infrastructure. The LNG Canada venture, which includes partners such as Petronas, PetroChina, Mitsubishi Corp, and Korea Gas Corp, is positioned to serve Asian markets via shorter Pacific shipping routes. Meanwhile, Wolf Midstream’s expansion includes a unit-train terminal expected to be in service by late 2026 to support growing NGL export demand.