LNG Canada has launched the first phase of its liquefied natural gas (LNG) plant in Kitimat, British Columbia. Production of the first LNG began on the morning of June 22 at the facility’s first processing unit, known as Train 1. The unit has an annual capacity of 5.6 million tons, but it’s currently running at only half that rate due to technical issues with one of its systems.
As reported by Reuters, the launch of this project marks a major milestone for Canada. It’s the country’s first large-scale LNG export terminal. Additionally, the facility’s infrastructure enables direct shipments across the Pacific Ocean. This strategic location significantly reduces delivery times to Asia-Pacific markets compared to US terminals in the Gulf of Mexico. According to the news agency, the first full LNG shipment is expected to be loaded onto the vessel Gaslog Glasgow by the end of June.
The launch of LNG Canada gives Canadian gas producers their first real opportunity to export beyond the United States, which had previously been their only market. The new terminal now allows Canada to redirect a portion of its natural gas supply to Asia.