News & Insights

Canada invests to diversify trade, create jobs and lower global emissions by expanding low-carbon LNG exports

Nov 13, 2026

Squamish, BC — Canada has the abundant energy resources it takes to master our destiny. Amid significant trade and economic uncertainty around the world, Canada is building a stronger, more independent economy by accelerating major projects, attracting capital, creating jobs and diversifying trade — laying the foundations for an investment supercycle.

Building on the objectives of Budget 2026, the Honourable Tim Hodgson, Minister of Energy and Natural Resources, announced a $200-million investment in Woodfibre LNG.

The Woodfibre LNG project is being advanced in collaboration with the Sḵwx̱wú7mesh Úxwumixw (Squamish Nation) and is the first major industrial project in Canadian history to be approved through a non-treaty, Indigenous-led environmental assessment process. Powered by British Columbia’s clean hydroelectricity, Woodfibre LNG is expected to be the world’s first net-zero LNG facility when operations begin in late 2027. According to Woodfibre LNG, the project will have an emissions intensity that is roughly nine times lower than the global average for LNG export facilities, equivalent to avoiding the emissions of roughly 140,000 cars every year, compared with a typical LNG facility.

By exporting low-carbon Canadian LNG to our allies in Asia and beyond, the project will support our goal of doubling non-U.S. trade and create significant economic opportunities in the Squamish region, including 1,500 jobs on-site at peak construction and 100 full-time positions during operations.

The Woodfibre LNG facility is now under construction and was originally designed to produce 2.1 million tonnes of LNG per year. This investment will enable Woodfibre LNG to maximize reliability, efficiency and production, and increase the project’s LNG capacity to a target of between 2.5 and 2.6 million tonnes per year, which represents a 19 to 24 percent increase that could power hundreds of thousands of homes. This investment will also enable exploration of a potential second phase of the project.

Supplying Canadian energy to the world strengthens global energy security, generates economic prosperity at home and reduces emissions globally. Simultaneously, it supports good jobs at home, diversifies Canadian trade, enhances energy security for our allies and advances Indigenous economic participation and reconciliation. This win-win result exemplifies the Government of Canada’s approach to being an energy superpower: building big, building right, building together.

Quotes

“Canada is blessed with abundant energy resources, unimpeded access to the Pacific Ocean and a highly skilled workforce — but we need to make strategic investments to turn these advantages into lasting economic strength, energy security and well-paying jobs for Canadians. With Indigenous partnership embedded from the outset and the world’s highest environmental standards, Canadians can be proud that Woodfibre LNG exemplifies our ability to responsibly build big projects that will help us master our own destiny for decades to come.”

The Honourable Tim Hodgson
Minister of Energy and Natural Resources

“Budget 2026 is about supporting projects like Woodfibre LNG that create opportunities that are felt far beyond the project site. This investment will support hundreds of skilled workers, create demand for Canadian businesses and suppliers across the supply chain and generate economic activity that benefits families and communities in Western Canada. From construction and trades to services and manufacturing, Woodfibre LNG is helping to create well-paying jobs, strengthen local and Indigenous economies, and provide lasting opportunities for workers and for future generations.”

Corey Hogan
Parliamentary Secretary to the Minister of Energy and Natural Resources

“With Woodfibre LNG now about three-quarters complete, powered by B.C. hydroelectricity and moving forward in partnership with the Squamish Nation, I welcome Ottawa’s investment. British Columbia has the resources the world needs, and unlocking them responsibly is how we supercharge our economy, create good jobs and build prosperity here at home. I look forward to working with the federal government, the Squamish Nation and Woodfibre LNG to see the first cargo sail from Howe Sound next year.”

Lorne Doerkson
Premier-Designate of British Columbia

“This federal investment will support a stronger facility for the future, and it demonstrates what is possible when Indigenous values and decision-making are respected from the start. Sḵwx̱wú7mesh Úxwumixw (Squamish Nation) holds a unique and independent regulatory role over Woodfibre LNG, and our agreement will apply to every aspect of this project, today and into the future. The conditions set out protect our territory, waters, air and people, and we continue to work to ensure this project remains something our community can be proud of.”

Sxwíxwtn Wilson Williams

Chairperson, Sḵwx̱wú7mesh Úxwumixw (Squamish Nation)

“We welcome the Government of Canada’s continued investment in Canada’s LNG opportunity and are proud to play a leading role in our country’s emergence as a global energy superpower. Woodfibre LNG is showing what Canadian energy leadership can look like, delivering the world’s first net-zero LNG export facility, a groundbreaking approach to Indigenous environmental oversight and the ability to deliver reliable Canadian energy to growing international markets.”

Luke Schauerte

Chief Executive Officer, Woodfibre LNG

Quick Facts

In 2017, Canada approved a 40-year natural gas export licence to Woodfibre LNG Limited for its proposed facility in Squamish, British Columbia.
Squamish Nation approved Woodfibre LNG under a first-of-its-kind, Indigenous-led environmental assessment, which resulted in an agreement with 25 legally binding conditions for the project. The Squamish Nation provides ongoing oversight through the Squamish Nation Environmental Assessment Agreement, which has shaped project design, environmental management and economic participation.
Woodfibre LNG’s world-leading low emissions intensity is driven by several factors, including tapping into British Columbia’s renewable hydroelectricity to power the compression and liquefaction of natural gas. To achieve net-zero emissions by the first day of operation, Woodfibre LNG is and will continue purchasing local, nature-based carbon offset credits to account for residual emissions produced during construction and operations.