Canada and Germany signed a long-term liquefied natural gas deal Wednesday that will direct shipments to Germany from the proposed Indigenous-led Ksi Lisims LNG terminal in British Columbia — marking a major milestone in Ottawa’s efforts to diversify its energy markets away from the United States.
Germany’s Uniper SE will purchase 2 million tonnes of LNG for 20 years, with deliveries expected to begin in 2032.
Natural Resources Canada said the deal means “a quarter of Ksi Lisims’ LNG is now tapped for Canada’s European allies.” The project is expected to serve customers in Germany, the United Kingdom, Sweden and the Netherlands.
Ottawa said the deal will help increase the share of Canada’s natural gas exports going to non-U.S. markets from virtually zero in 2024 to an estimated 55 percent by the early- to mid-2030s. The C$30 billion project will be Canada’s second-largest LNG facility and account for 13 percent of Canada’s total natural gas exports by then.
