Federal Government Green Lights Ksi Lisims LNG Project Following Substituted Impact Assessment by British Columbia

OTTAWA, ON, Sept. 15, 2025 /CNW/ - Today, the Honourable Julie Dabrusin, Minister of Environment and Climate Change, issued her decision under the Impact Assessment Act (IAA), green lighting the Ksi Lisims LNG – Natural Gas Liquefaction and Marine Terminal Project to move to the next stage of seeking permits and authorizations. This decision follows a substituted impact assessment conducted by the Government of British Columbia and cooperative work with the Nisga'a Nation, in line with the goal of achieving "one project, one review" for assessments.

The Minister's decision focused on the project's potential adverse effects within federal jurisdiction. The assessment found likely effects of the project on some of the areas of federal jurisdiction to be significant, but only to a limited extent when mitigation measures are considered. The Minister believes these effects are justified in the public interest. Broader sustainability considerations, such as economic reconciliation with Indigenous Peoples, supporting self-determination for the Nisga'a Nation, diversification of Canada's trade, and potential positive economic outcomes for regional communities, formed part of the overall context for this determination.

Moving forward, the proponents — the Nisga'a Nation, Rockies LNG Limited Partnership, and Western LNG LLC — must comply with legally binding conditions set out in the Minister's Decision Statement. These include measures to reduce adverse effects on fish and birds, safeguard Indigenous health and socio-economic conditions, and protect cultural heritage and traditional land-use. The proponent must also accommodate for potential impacts on the rights of Indigenous Peoples.

Follow-up programs will be established to verify the accuracy of the assessment, determine the effectiveness of mitigation measures, and engage with Indigenous Peoples throughout the project's lifecycle.

Canada's commitment to reducing duplication, finding efficiencies and advancing Indigenous reconciliation remains at the forefront of major project reviews. Thanks to the Impact Assessment Cooperation Agreement Between Canada and British Columbia, and incorporating the requirements set out in the Nisga'a Final Agreement (the Treaty), this project was able to benefit from a 'one project, one review' approach. The Minister has issued a Project Recommendation that includes a determination regarding the potential effects of the project under the Treaty.

The federal decision on the Ksi Lisims LNG Project aligns with the Government of Canada's commitment to fast-tracking nation-building infrastructure that strengthens diversified trade, advances sustainable resource development, supports Indigenous economic development, and contributes to Canada's long-term competitiveness as a reliable partner in global energy markets.

Quote

"Canadians expect strong environmental protection alongside sustainable economic growth. My decision reflects a collaborative, transparent process – led by the province, supported by federal expertise, and shaped by meaningful Indigenous leadership. We believe the project will contribute to sustainability, reconciliation, and Indigenous economic self-determination."

     – The Honourable Julie Dabrusin, Minister of Environment and Climate Change

Quick Facts

• B.C.'s Environmental Assessment Office (EAO) conducted the assessment on behalf of the federal government under the substitution provisions of the IAA, reflecting both Governments' commitment to 'one project, one review.' This is the first substituted assessment to be approved under the amended Impact Assessment Act (2024) and B.C.'s Environmental Assessment Act (2018). Two other projects are currently under review using the same process.
• Canada, B.C., and the Nisga'a Nation jointly developed a collaborative workplan to facilitate an efficient assessment process for the project, in alignment with each jurisdiction's legislative and treaty requirements.
• As the first project to complete a comprehensive assessment under the amended Impact Assessment Act (IAA), this decision sets a precedent by clearly anchoring federal decision-making in areas of federal jurisdiction, such as effects on Indigenous Peoples and fish and fish habitat, demonstrating how the amended IAA strengthens clarity and accountability in impact assessments.
• The work of the Impact Assessment Agency of Canada (IAAC) played a critical role in advancing the project. IAAC supported the substituted assessment by contributing federal expertise, consulting Indigenous groups on proposed federal conditions, and ensuring the process met all federal requirements under the IAA through B.C.'s process and on its timelines. IAAC will continue its work by enforcing legally binding conditions and overseeing follow-up and compliance.
• The assessment process was informed by consultation with the following Indigenous groups: Gitga'at First Nation, Gitxaała Nation, Council of the Haida Nation, Kitselas First Nation, Kitsumkalum First Nation, Lax Kw'alaams Band, Metlakatla First Nation, and Nisg̱a'a Nation.
• The Nisga'a Final Agreement (the Treaty) is the first modern treaty in B.C. and contains specific and unique provisions for environmental assessments that are in addition to the requirements of the IAA and B.C.'s Environmental Assessment Act (2018). The project is the first impact assessment under the IAA to incorporate the requirements under Chapter 10 of the Treaty and the first project recommendation to be made alongside a decision under the IAA.
• Indigenous groups have expressed concerns about the broader effects of increased marine shipping activities along the north coast. In response, IAAC collaborated with Indigenous communities and federal partners to develop conditions to minimize project-related effects. Recognizing that these concerns extend beyond the scope of this project, the federal government is carefully considering B.C.'s recommendations on the wider implications of marine shipping and remains committed to ongoing dialogue with Indigenous groups to further explore and address these issues.

Associated Links

• Ksi Lisims LNG – Natural Gas Liquefaction and Marine Terminal Project (Impact Assessment Agency of Canada)
• Minister's Environmental Assessment Decision Statement (Impact Assessment Agency of Canada)
•  Assessment Report
• Impact Assessment Process Overview 

Follow us on X: @IAAC_AEIC #KsiLisimsLNG

SOURCE Impact Assessment Agency of Canada

Contacts: Jenna Ghassebeh, Director of Communications, Office of the Minister of Environment and Climate Change, 613-294-2575, [email protected]; Media Relations, Impact Assessment Agency of Canada, [email protected]