Canada advances global energy exports by signing second European LNG deal

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Natural Resources Canada

Jul 29, 2026, 12:00 ET

NISGA'A NATION, BC, July 29, 2026 /CNW/ -- The world is changing rapidly. In response, Canada is focused on what we can control: building a stronger, more independent and more sustainable economy. As part of that plan, we are expanding and strengthening our international trade energy exports. Canada has what the world wants, and providing Canadian energy to our allies reinforces global energy security, domestic prosperity and Canada's position as an energy superpower.

Today, The Honourable Jill McKnight, Minister of Veterans Affairs and Associate Minister of National Defence, on behalf of the Honourable Tim Hodgson, Minister of Energy and Natural Resources, announced a binding agreement between Ksi Lisims LNG and Germany's Uniper SE. This first-of-its-kind deal will see Uniper purchase two million tonnes per annum (mtpa) of Canadian LNG for up to 20 years, with first deliveries expected to begin in 2032.

These deliveries will benefit customers in Uniper's core markets of Germany, the United Kingdom, Sweden and the Netherlands. For decades, Canada relied almost entirely on the U.S. market for its natural gas exports. Locking in long-term contracts with European allies broadens our customer base, giving Canadians greater economic and job stability and increased trade sovereignty. This deal supports the federal government's trade diversification agenda, enabling us to go from less than 0.01 percent of our natural gas exports being sent to non-U.S. markets in 2024 to an estimated 55 percent by the early-to-mid 2030s. 

Led by the Nisga'a Nation, Ksi Lisims LNG is a $30-billion project that will be Canada's second-largest LNG facility, with the potential to represent 13 percent of Canada's total natural gas exports by the early-to-mid 2030s. It will also be one of the world's lowest-emission LNG operations, with emissions 94 percent below the global average. It was referred to the federal Major Projects Office in November 2025.

This agreement follows on the landmark first Canada–Europe LNG letter of interest reached in May 2026 of a potential 20-year agreement between Ksi Lisims LNG and Germany's SEFE to supply one million tonnes of LNG per year from Canada to Europe -- meaning that a quarter of Ksi Lisims' LNG is now tapped for Canada's European allies.

Today's agreement marks an important step for the Nisga'a Nation and for Ksi Lisims LNG, one that is expected to drive significant economic activity, create thousands of jobs in British Columbia and contribute $15 billion to Canada's GDP.

The signing of this agreement demonstrates how Canada is taking decisive action to responsibly unlock our natural resources, build in partnership with Indigenous Peoples, strengthen our economic security and deliver low-carbon growth that supports jobs, diversifies trade and catalyzes long-term prosperity.

Quotes 

"This agreement between Ksi Lisims LNG and Uniper represents more than an energy partnership. It is a powerful example of how, by working with allies like Germany, Canada can strengthen its economy and sovereignty and support global energy security. Amidst energy market disruptions, international demand for reliable energy only continues to grow, and projects like this -- developed in partnership with Indigenous Peoples and providing best-in-class low-carbon energy -- demonstrate how Canada is not only a competitive but also a leading energy superpower."

The Honourable Tim Hodgson 
Minister of Energy and Natural Resources 

"Today marks another important step in Canada's trade diversification and in building a stronger, more independent and resilient economy. By expanding international trade and supplying low-carbon LNG to trusted allies like Germany, Ksi Lisims LNG will create jobs, attract investment, contribute to Canada's long-term prosperity and reinforce Canada's position as a global energy superpower."

The Honourable Dominic LeBlanc
President of the King's Privy Council for Canada and Minister responsible for Canada–U.S. Trade, Intergovernmental Affairs, Internal Trade and One Canadian Economy 

"By working alongside the Nisga'a Nation to advance major projects like Ksi Lisims, we are creating opportunities for investment, jobs and long-term prosperity in communities across B.C. This agreement not only strengthens and diversifies our trade relationships but also reinforces B.C.'s position as a reliable, clean energy partner."

The Honourable Adrian Dix
British Columbia Minister of Energy and Climate Solutions

"Today marks another important milestone for British Columbia and Canada as we continue to strengthen our economy and diversify trade by expanding access to global markets. As a leader in Canada's export growth, B.C. is helping deliver low-carbon energy to the world while creating well-paying jobs and opportunities here at home. Developed in partnership with Indigenous communities, Ksi Lisims LNG demonstrates how sustainable resource development can advance reconciliation and deliver mutual prosperity. This project will help catalyze growth across the province and reinforce Canada's role as a trusted energy partner for allies around the world."

The Honourable Jill McKnight
Minister of Veterans Affairs and Member of Parliament for Delta

"Today's signing shows that Germany and Canada want to deliver fast: to the benefit of our businesses, our people; to the benefit of Canadians, British Columbians and the Nisga'a Nation. Our partnership is entering into a new era, be it in energy, technology or defence. We are proud to be reliable and trusted partners of our Canadian friends."

Tjorven Bellman
German Ambassador to Canada

"This agreement sends a strong signal for greater security of supply and strategic independence: Uniper is securing around two million tonnes of Canadian LNG per year over the long term, equivalent to approximately 30 terawatt-hours. This is how we strengthen our resilience: through new sources of supply, long-term partnerships and greater diversification. Canada is a strategic partner for us -- reliable, rich in natural resources and closely connected to Germany through strong economic ties."

Katherina Reiche
German Federal Minister for Economic Affairs and Energy

"A project of this size returns real value -- not just for Indigenous people but for everyone across B.C. and Canada -- revenue that helps fund the hospitals we rely on and the schools our children learn in. It creates thousands of good careers for people who deserve the chance to build a future right here in northwest B.C. This agreement is proof of what's possible when First Nations, the Province of B.C., the Canadian government, international partners and industry proponents work together. We're proud of what Ksi Lisims LNG represents and optimistic for the future as the project moves toward FID and construction."

Eva Clayton
President, Nisga'a Lisims Government

"This agreement is about far more than LNG. By signing this long-term, off-take agreement, we are strengthening Uniper's portfolio with a reliable source of LNG from Canada. As a trusted partner, Canada helps diversify Europe's energy supply and strengthens resilience against future disruptions. In an increasingly uncertain world, diversification is a strategic necessity. The project combines security of supply, low-carbon hydropower infrastructure and a strong partnership -- exactly the kind of long-term energy partnership we seek to build."

Michael Lewis
CEO, Uniper

Quick Facts 

  • Minister McKnight was joined by the Honourable Adrian Dix, British Columbia's Minister of Energy and Climate Solutions; Eva Clayton, President of Nisga'a Lisims Government; Dirk Jacobi, Deputy German Consul General to Vancouver; and Mike Newman, Senior Managing Director for North American Power and Natural Gas Trading at Uniper -- representing Canadian, Indigenous and international alignment on Canada's role as a reliable energy supplier of choice to international partners, with Indigenous ownership at the heart of major projects.
  • Ksi Lisims LNG is a proposed floating natural-gas liquefaction production, storage and offloading facility with a marine terminal located on the north coast of British Columbia. It will be Canada's second-largest LNG terminal and would export up to 12 million tonnes per annum of LNG. 
  • After receiving approval under Canada and British Columbia's "One Project, One Review" model in September 2025, Ksi Lisims LNG was referred to the Major Projects Office in November 2025 to support Canada's efforts to more than double our low-carbon LNG production. Senior executives from the project also joined a successful Government of Canada–led trade delegation to Germany in August 2025, where they made contacts that contributed to the success of this deal.
  • Ksi Lisims LNG was referred to the MPO as a project of national importance and significance on November 13, 2025. The Government of Canada established the MPO to advance nation-building projects to help drive our economy, diversify our industries and trade, support clean growth and Indigenous partnership, and create high-paying careers for generations to come. The MPO moves major projects forward faster and responsibly by simplifying processes while respecting the rights of Indigenous Peoples and protecting the environment. To do that, the MPO co-ordinates and provides support to the proponent throughout the federal regulatory and financing processes. 
  • Düsseldorf-based Uniper is a European energy company with global reach. It has about 7,000 employees, and its 18.5 gigawatts of power-generating capacity make it a mainstay of reliable power production across Europe, including providing energy and services to about 1,000 municipalities and industrial companies in Germany and serving as Germany's largest operator of gas storage facilities and hydropower plants.
  • Canada is building a trading network that is the envy of the world, with preferential access to 1.5 billion consumers across 16 free trade agreements, 51 countries and roughly two-thirds of global GDP. Building on this advantage, Canada is expanding its international trade footprint by connecting its world-class conventional and clean energy resources directly to global markets. Opening these new export pathways protects the domestic economy from regional price swings and delivers lasting prosperity for Canadian workers and communities.

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