The federal government says it is investing $200 million in B.C.’s Woodfibre LNG near Squamish, a project designed to produce about 2.1 million tonnes of LNG each year.
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The federal government announced Friday it will invest $200 million in Woodfibre LNG near Squamish, describing the funding as part of a broader push to attract investment in energy and natural resources after Budget 2026 was introduced.
Energy Minister Tim Hodgson said the budget’s goals would “make Canada the premier global destination for investment in energy and natural resources,” adding that “by doing so, launching a new investment super cycle here in Canada.”
Woodfibre LNG is located southwest of Squamish and will receive natural gas, cool it into liquefied natural gas, then load it onto specialized LNG carriers for export overseas.
The facility is designed to produce approximately 2.1 million tonnes of LNG each year. The company said Woodfibre was the first LNG export facility in Canada approved to use electric compressors instead of conventional gas-powered turbines, and it has committed to operate as the world’s first net-zero LNG export facility with nature-based carbon offsets for hard-to-abate emissions.
Premier-designate Lorne Doerkson said Woodfibre is demonstrating what can happen “when governments, First Nations and industry work together.” He added that the Squamish Nation led its own environmental assessment, establishing 25 legally binding conditions and continuing to play an oversight role as the project moves forward.
Doerkson also said Woodfibre’s first cargo is expected to sail from Howe Sound next year. Hodgson said the project will help “rewrite that story” of Canadian natural gas exports being dominated by a single market. He said Canada will “turn geographic advantage into conditions to attract investment to this country, to build major projects, and to create jobs for British Columbians and Indigenous peoples.”
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