Since shipping its first LNG cargo from Kitimat at the end of June 2025, Canada has firmly established itself as a new and influential player in the global LNG market. The Kitimat terminal successfully sent multiple shipments to key Asian markets like South Korea and Japan within weeks, marking a major milestone for North America’s Pacific coast LNG exports. While initial production from LNG Canada’s Phase 1 trains began below capacity due to some technical challenges, the facility is steadily ramping up and is expected to hit its full output of 14 million tonnes per annum over the next 12 to 18 months.
This increase in Canadian LNG exports is part of a much larger surge in global LNG supply slated for 2025, with worldwide liquefaction capacity expanding by nearly 47 million tonnes per year—more than triple the additions made in 2024. North America is at the heart of this growth, with combined exports from Canada, the U.S., and Mexico projected to rise by 27% this year alone. This expansion is not only boosting total trade volumes, which grew by about 4% in the first half of 2025 compared to 2024, but is also reshaping global trade dynamics. Canada’s west coast advantage drastically cuts shipping times to Asia, making its LNG especially competitive in key import markets.
On the demand side, Europe has ramped up LNG imports by 25% in the first half of 2025 to offset reductions in pipeline gas supplies from Russia and Norway, while Asian import volumes remain strong though slightly tempered. This robust demand combined with the increasing supply pipeline from North America is transforming the global LNG landscape. The addition of Kitimat and ongoing expansions in the U.S. are propelling North America to the forefront of the LNG export world, offering a diverse, reliable energy source that aligns closely with the evolving geopolitical and energy security considerations of the world’s biggest gas consumers.
The first shipment from Kitimat’s LNG Canada terminal set sail for Asia at the end of June 2025. This historic milestone, marked by the departure of the GasLog Glasgow tanker, positions Canada as a new LNG exporter and signals a major boost for the nation’s energy sector, the businesses that support it and the regional economy at large.
The LNG tanker GasLog Glasgow was chartered by Shell and is transporting the LNG to buyers in Asia.
LNG Canada is the largest private-sector investment in the country’s history and has taken years to get off the ground.
Shell controls a 40% stake in the project, with Petronas holding 25%, PetroChina and Mitsubishi Corp 15% each and Korea Gas Corp 5%
Petronas’ chief executive Tengku Muhammad Taufik stated “Canada is crucial to our ambitions to preserve our position in the LNG space.”
Petronas has sent an LNG carrier to export its first cargoes. The 174,000-cbm Puteri Sejinjang (built 2024) is planned to arrive on 29 June at the new 14-mpta LNG Canada plant near Kitimat on Canada’s west coast.
This will create a huge tailwind for companies operating in the Canadian oil and gas sector, such as Enterprise Group.
My knowledge on terravest is limited to tweets I’ve seen on it. Love your deep dives, they are well written and detailed. I have learnt a lot reading them.
Terravest is a great company with excellent management. They have recently made a huge acquisition.
The businesses are very different. One transports chemicals and gas on the back of trucks, the other provides infrastructure for oil and gas extraction.
Both are good businesses and I would have both in my portfolio, but I feel that Enterprise is at an inflection point that will see accelerated growth in the years ahead without the need for any acquisitions. It will all be organic. It is capital light and so easy to scale.
I hope this helps. I would love to hear your views.
Since shipping its first LNG cargo from Kitimat at the end of June 2025, Canada has firmly established itself as a new and influential player in the global LNG market. The Kitimat terminal successfully sent multiple shipments to key Asian markets like South Korea and Japan within weeks, marking a major milestone for North America’s Pacific coast LNG exports. While initial production from LNG Canada’s Phase 1 trains began below capacity due to some technical challenges, the facility is steadily ramping up and is expected to hit its full output of 14 million tonnes per annum over the next 12 to 18 months.
This increase in Canadian LNG exports is part of a much larger surge in global LNG supply slated for 2025, with worldwide liquefaction capacity expanding by nearly 47 million tonnes per year—more than triple the additions made in 2024. North America is at the heart of this growth, with combined exports from Canada, the U.S., and Mexico projected to rise by 27% this year alone. This expansion is not only boosting total trade volumes, which grew by about 4% in the first half of 2025 compared to 2024, but is also reshaping global trade dynamics. Canada’s west coast advantage drastically cuts shipping times to Asia, making its LNG especially competitive in key import markets.
On the demand side, Europe has ramped up LNG imports by 25% in the first half of 2025 to offset reductions in pipeline gas supplies from Russia and Norway, while Asian import volumes remain strong though slightly tempered. This robust demand combined with the increasing supply pipeline from North America is transforming the global LNG landscape. The addition of Kitimat and ongoing expansions in the U.S. are propelling North America to the forefront of the LNG export world, offering a diverse, reliable energy source that aligns closely with the evolving geopolitical and energy security considerations of the world’s biggest gas consumers.
Canada - Officially entered the global LNG market
The first shipment from Kitimat’s LNG Canada terminal set sail for Asia at the end of June 2025. This historic milestone, marked by the departure of the GasLog Glasgow tanker, positions Canada as a new LNG exporter and signals a major boost for the nation’s energy sector, the businesses that support it and the regional economy at large.
The LNG tanker GasLog Glasgow was chartered by Shell and is transporting the LNG to buyers in Asia.
LNG CANADA, NOW ONLY WEEKS AWAY FROM LIFT OFF
LNG Canada is the largest private-sector investment in the country’s history and has taken years to get off the ground.
Shell controls a 40% stake in the project, with Petronas holding 25%, PetroChina and Mitsubishi Corp 15% each and Korea Gas Corp 5%
Petronas’ chief executive Tengku Muhammad Taufik stated “Canada is crucial to our ambitions to preserve our position in the LNG space.”
Petronas has sent an LNG carrier to export its first cargoes. The 174,000-cbm Puteri Sejinjang (built 2024) is planned to arrive on 29 June at the new 14-mpta LNG Canada plant near Kitimat on Canada’s west coast.
This will create a huge tailwind for companies operating in the Canadian oil and gas sector, such as Enterprise Group.
This opinion piece from Energy Now supports my view that Canada is on the verge of something really big: https://energynow.ca/2025/05/opinion-still-not-excited-about-canadian-lng-pull-up-a-chair-resource-works/
You have probably heard of terravest. How do you think enterprise compares?
My knowledge on terravest is limited to tweets I’ve seen on it. Love your deep dives, they are well written and detailed. I have learnt a lot reading them.
Terravest is a great company with excellent management. They have recently made a huge acquisition.
The businesses are very different. One transports chemicals and gas on the back of trucks, the other provides infrastructure for oil and gas extraction.
Both are good businesses and I would have both in my portfolio, but I feel that Enterprise is at an inflection point that will see accelerated growth in the years ahead without the need for any acquisitions. It will all be organic. It is capital light and so easy to scale.
I hope this helps. I would love to hear your views.