Fluor Corporation announced on June 1 that its joint venture with JGC Corporation received a Limited Notice To Proceed (LNTP) for the proposed Phase 2 expansion of LNG Canada. The LNTP permits the contractors to start certain portions of work, which could include activities such as site preparation, material procurement, or design activities, prior to a formal Final Investment Decision. The Fluor/JGC joint venture was the Engineering, Procurement, and Construction contractor for LNG Canada Phase 1.
This news is further evidence that LNG Canada is working towards a Final Investment Decision in the coming months. Recall that Shell’s CEO Mr. Wael Sawan noted on a conference call in late April that he was expecting LNG Canada to make a Final Investment Decision later in 2026. According to a May 14 press release from LNG Canada, on May 1 the project’s owners approved “hundreds of millions of dollars in incremental funding to help finalize critical work scopes to achieve a potential FID by the end of the year”.
LNG Canada Phase 2 would double the capacity of the facility by adding another 14 million tonnes per year (roughly 1.9 Bcf/d) of output capacity. LNG Canada is owned by Shell (40% and operator), Petronas (25%), Mitsubishi (15%), PetroChina (15%), and Kogas (5%).
