Wedoany.com Report-Nov. 7, LNG Canada has commenced production of liquefied natural gas (LNG) from the second of its two processing units, known as Train 2, the company announced. Both units at the Shell-led project in Kitimat, British Columbia, are now in operation, each with a processing capacity of 6.5 million metric tons per year, according to a company spokesperson.

LNG Canada's flare stack burns at its LNG (liquid natural gas) export facility on Canada's Pacific coast in Kitimat, British Columbia, Canada August 19, 2025.

As the first major LNG export terminal in Canada and the first on North America’s west coast to provide direct access to Asia, LNG Canada represents a significant development in the global natural gas trade. When fully operational, the facility is expected to process around two billion cubic feet of gas per day, enabling the export of LNG to key markets across Asia and other regions.

Construction of LNG Canada began nearly seven years ago, with the first cargo shipped on June 30. However, the project’s ramp-up phase has progressed more gradually than some analysts had forecast, due to technical challenges encountered during commissioning and operations. Despite this, the project continues to make progress toward full capacity.

On Thursday, the 22nd LNG cargo departed from the Kitimat terminal for export to international markets, marking another milestone in the facility’s operational phase. Market participants have expressed optimism that the activation of Train 2 will increase demand and help reduce the surplus of natural gas stored in Western Canada, potentially providing upward support for regional gas prices.

LNG Canada is a joint venture comprising several major global energy companies: Shell, Malaysia’s Petronas, PetroChina, Japan’s Mitsubishi Corporation, and South Korea’s KOGAS. Each partner contributes technical expertise, investment, and market access to the project.

In a related development last month, MidOcean Energy — an LNG company backed by EIG and Saudi Aramco — announced plans to acquire a 20% stake in the Petronas-led venture that holds a 25% ownership share in LNG Canada. The transaction, once completed, would expand MidOcean Energy’s portfolio and strengthen its presence in the North American LNG sector.

The launch of Train 2 is expected to further enhance LNG Canada’s role as a strategic supplier of liquefied natural gas to global markets, particularly in Asia, where demand for cleaner-burning energy continues to grow. The project’s location on the Pacific coast offers logistical advantages for exports to the region, shortening shipping times compared with terminals on the U.S. Gulf Coast.

Overall, the completion of both LNG trains marks a major step forward for Canada’s energy industry. It strengthens the country’s position in the global LNG supply chain while contributing to the diversification of natural gas exports. The project’s successful startup also reflects ongoing international cooperation among its shareholders and their shared commitment to expanding LNG infrastructure worldwide.