The Shell-led LNG Canada project in Kitimat, British Columbia has reportedly produced its first liquefied natural gas (LNG)—a major milestone for Canada’s energy industry and global LNG supply chains.
According to sources cited by Reuters, production began at 4:00 AM local time on June 22, marking the first-ever large-scale LNG production in Canada and the first North American project with direct Pacific access—a key logistical advantage for supplying North Asian markets.
LNG Canada, which will eventually export 14 million tonnes per annum (mtpa), confirmed ongoing commissioning activities, with intermittent flaring expected over the weekend.
“LNG Canada appreciates the community’s ongoing support and understanding as we safely advance toward first cargo,” the company said.
Though Shell CEO Wael Sawan recently stated the first cargo remains on track for mid-2025, insiders now expect the initial shipment in early July. LNG carriers GasLog Glasgow (ETA: June 29) and Petronas’ Puteri Sejinjang (ETA: July 6) are en route to Kitimat, according to marine tracking data.
The project’s pricing advantage—linked to the AECO index, which is generally lower than the U.S. Henry Hub—has drawn interest from international buyers. Partners in the venture include Shell, Petronas, PetroChina, Mitsubishi Corporation, and Kogas.
Once fully online, LNG Canada will help reshape Pacific energy trade routes and bolster Canada’s role as a key global LNG supplier.
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