Canada is Back: LNG’s pivot is a national win

Last week marked a significant milestone for Canadian sovereignty. On July 1, 2025, the tanker Gaslog Glasgow departed from Kitimat, B.C., carrying Canada’s first-ever commercial LNG export bound for Asia. The shipment represents more than a pipeline or terminal; it marks the end of our virtual sentence to perpetual energy dependence on the U.S. and a belated, but welcome, embrace of global energy markets.

Praised by LNG Canada CEO Chris Cooper as a “truly historic moment,” the cargo left just days after the plant produced its first liquefied natural gas and officially entered operation. The $40 billion Kitimat megaproject, the largest private-sector investment in Canadian history, is the country's first large-scale Pacific Coast LNG hub, capable of exporting up to 14 million tonnes per year, with expansion already under serious consideration.

This milestone comes after nearly a decade of federal obstruction. Prime Minister Trudeau’s radical environmental views resisted LNG exports, prompting envoys and heads of state—from Japan, Greece, and Germany—to plead with Ottawa, only to be turned away. Trudeau insisted there was “no business case” for LNG sales, and no one in his caucus dared to disagree. Ottawa’s refusal to support Canadian LNG discouraged capital investment in terminals and pipelines and stalled momentum across the board.

But the pleas and the market signals said otherwise. Kitimat now proves what most knew: the business case was always there.

Canada may be late to the game. Our U.S. neighbours began LNG exports in 2016; we’re nearly a decade behind.

Still, Canada holds a clear advantage. The Montney Formation, spanning northeast British Columbia and parts of Alberta, covers approximately 130,000 square kilometres and holds immense natural gas potential. Gas from the Montney trades at roughly half the Henry Hub price—the benchmark price point for natural gas in North America, based in Louisiana. That gives Canadian exports a significant cost edge.

And Kitimat, positioned on the Pacific Coast, avoids the Panama Canal, a congested artery even after recent upgrades. The result? A competitive product on a shorter route to energy-hungry Asian markets.

This isn’t just talk, it’s about strategic balance. In 2024, Canada exported roughly 8.6 billion cubic feet per day of gas to the U.S. via pipeline. With Kitimat, that one-market dependency begins to fade, as does the gas price differential losses that Canada incurs for trapping its resources. Diversifying the gas exports boosts productivity, strengthens our dollar, and gives us a greater degree of economic independence from our southern neighbour.

The benefits run deeper. The Kitimat build employed 50,000 Canadians at its peak, awarded $5.8 billion in Indigenous and local contracts, and created more than 300 permanent jobs. Provincial revenues are projected in the tens of billions, reinforcing federal and provincial coffers. In economic cold snaps, this is warm, durable policy.

Critics raise concerns about the implications for greenhouse gases at home. But exporting natural gas to high-emission countries carries crucial environmental benefits. Natural gas is up to 25% cleaner than coal in lifecycle emissions. In this light, Canadian LNG has a direct impact on reducing global emissions. There’s no environmental Plexiglass at national borders.

More shipments will follow. Cedar LNG and Woodfibre LNG are already under construction. Atlantic coast projects linger on the horizon. We must now support this emerging ecosystem, push back against unnecessary delays, and persuade self-styled environmental defenders to see LNG for what it is: a bridge fuel that cuts emissions and helps fund Canada’s future and its sovereignty.

We may be late to the LNG party, but the guest of honour just arrived, suitcase full of gas and a ticket to a stronger Canada.