Canada Invests $200 Million to Expand Woodfibre LNG Project Near Squamish
On November 13, 2026, the Government of Canada announced a $200 million investment in the Woodfibre LNG project near Squamish, British Columbia. The funding will increase the facility's annual production capacity by 19 to 24 percent, supporting its goal to become the world's first net-zero LNG export terminal when operations begin in late 2027.
The Government of Canada announced a $200 million investment in the Woodfibre LNG project on November 13, 2026. Located near Squamish, British Columbia, along Howe Sound, the facility is scheduled to begin operations in late 2027 and is projected to be the world's first net-zero liquefied natural gas export terminal.
The federal funding will enable Woodfibre LNG to increase its production capacity from an original design of 2.1 million tonnes per year to a target of between 2.5 and 2.6 million tonnes per year, representing a 19 to 24 percent expansion. The project is powered by hydroelectricity, and its emissions intensity is roughly nine times lower than the global average for LNG export facilities. According to Natural Resources Canada, this reduction is equivalent to avoiding the emissions of approximately 140,000 cars annually compared to a typical facility.
During the construction phase, the project will employ 1,500 people on site every day. Once operational, it will provide 100 full-time positions. The investment is intended to create significant economic opportunities and jobs in the Squamish region while diversifying Canadian trade away from the United States and supporting the broader goal of doubling non-U.S. trade. It also aims to enhance energy security for allies in Asia and beyond through low-carbon energy exports.
Woodfibre LNG was approved through a non-treaty, Indigenous-led environmental assessment process conducted in collaboration with the Sḵwx̱wú7mesh Úxwumixw (Squamish Nation). This approach advances Indigenous economic participation and reconciliation, with the agreement including 25 legally binding conditions. In 2017, Canada approved a 40-year natural gas export licence to Woodfibre LNG Limited, laying the regulatory groundwork for the project's long-term operations.