
From the gas fields to the global market
How extraordinary engineering and growing demand for LNG helped put a remote corner of Canada on the global energy map.
On July 1, 2025
Listen to this story
Tucked into the rugged west coast of British Columbia in Canada, amid the rivers, mountains and eagles soaring overhead, is one of the world’s most advanced energy facilities – and one of its remotest.
LNG Canada stands on territory belonging to the Haisla Nation, who have stewarded this land for generations. Every step of the liquefied natural gas (LNG) project in Kitimat over the last six years “had to be planned to respect the land, the people, and the scale of what we were building,” says Hadi Quazi, Shell’s Joint Venture Asset Manager for LNG Canada.
That scale is hard to overstate. Canada’s largest private-sector investment includes a town to house its thousands of workers and a marine yard – a clue to the site’s importance to the global energy system.
The first cargoes from LNG Canada have left Kitimat for customers in Asia. And it’s just the start. The facility has the capacity to produce around 14 million tonnes of LNG every year, liquefying natural gas that arrives at the site through a 670-kilometre (416 mile) pipeline.
For Shell, the launch marks a key step in expanding its global LNG portfolio – already one of the largest in the world. But its impact stretches further. LNG is a critical fuel for the energy transition because it offers a lower-carbon alternative to coal, especially for heavy industry, and can be easily transported to where it is needed. It also provides grid stability alongside wind and solar power. As global demand for LNG grows – in Asia in particular – LNG Canada is helping supply the energy that millions around the world increasingly rely on.
Heavy lift
Kitimat’s remoteness made the LNG Canada project especially challenging. The nearest major city, Prince George, is about 600 km (372 miles) away – about the same distance from London to Paris and back again. With no local infrastructure to build the components, all the equipment – from steel piles to turbines – was transported from overseas, including from China and Italy.
“LNG Canada was assembled like a colossal Lego set,” Hadi says. “But instead of snapping together plastic bricks, crews hoisted and positioned building-sized modules.”
One of the most complex lifts involved placing a 1,540-tonne steel roof onto the LNG storage tank – a single piece heavier than a fully loaded Airbus A380.
Photo gallery
Power, cooling, and efficiency
Behind the massive structures lies a finely tuned system of technology and energy.
“Think of LNG Canada as a giant refrigerator,” Hadi explains. “Our job is to cool natural gas from ambient temperatures down to -162°C so it can be shipped as a liquid. That cooling process demands tremendous amounts of energy.”
Four powerful gas turbines – derived from aircraft engines and used in an LNG plant for the first time – power the liquefaction process. They are among the most efficient gas turbines in the world and, together, could power a city the size of Vancouver. But generating that much energy also produces intense heat, much like the back of a refrigerator gets warm when the air inside is cold. Some of this heat is reused to warm parts of the plant, but the rest has to be released.
This is where the largest cooling towers Shell has ever used come in. Acting like the refrigerator’s heat vent, they remove excess heat using water that is continuously cooled and reused in a loop, with only a small amount taken from the nearby Kitimat River to replace what is lost to evaporation.
“We recycle as much water as we can,” says Rena Feng, a process engineer and a Shell secondee at LNG Canada. “It’s about keeping the plant efficient and minimising waste.”
Jenna Lapointe, Shell petrophysicist"There is something extraordinary about seeing the first boat come into the harbour. We have been on this journey for years – from reservoir to the pipe, from pipe to the plant – and now we are sending the LNG to the world."
Unlocking gas reservoirs
The idea of liquefying natural gas and exporting it from British Columbia had been around for decades. But in 2018, a final investment decision was signed by Shell, Malaysia’s PETRONAS, PetroChina, Mitsubishi Corporation of Japan and Korea’s KOGAS. Shell is the largest partner in the LNG Canada joint venture with a 40% interest.
Long before pipelines were laid or ships prepared for export, Shell’s geoscientists and engineers were poring over geological data, searching for the right rocks. In the foothills of British Columbia, they found them – layers of tight, gas-rich siltstone and shale known as the Montney formation.
“I always start at the rocks,” says Jenna Lapointe, a petrophysicist who has worked for Shell for more than three decades. “I love the puzzle of trying to understand what makes the best quality reservoir.”
Getting the gas to Kitimat was a feat of engineering in itself. The Coastal GasLink pipeline, owned and operated by TC Energy, traverses mountains, forests, and rivers. When the terrain got too steep for trucks or cranes, the Coastal Gaslink team created a solution.
“They built ski lifts to haul pipes up the side of a mountain,” says Hadi. “Not for people – for steel.”
First cargoes
As LNG tankers begin to dock in Kitimat, the project turns toward decades of operation.
“There is something extraordinary about seeing the first boat come into the harbour,” says Jenna. “We have been on this journey for years – from reservoir to the pipe, from pipe to the plant – and now we are sending the LNG to the world.”
“Like the Canadian Pacific Railway, which stretches from coast to coast, LNG Canada connects the country in a new way – from the gas fields to the global market,” says Hadi. “It creates a legacy for workers, local and First Nations communities, and Canada.”
In 2024, 78.2% of Shell's global investments included oil & gas, 11.37% included low-carbon energy solutions and 10.43% non-energy products. Shell's target is to become a net-zero emissions (NZE) business by 2050. Disclaimers, including NZE target: shell.com/disclaimer
Cautionary note
Cautionary note
The companies in which Shell plc directly and indirectly owns investments are separate legal entities. In this content “Shell”, “Shell Group” and “Group” are sometimes used for convenience to reference Shell plc and its subsidiaries in general. Likewise, the words “we”, “us” and “our” are also used to refer to Shell plc and its subsidiaries in general or to those who work for them. These terms are also used where no useful purpose is served by identifying the particular entity or entities. ‘‘Subsidiaries’’, “Shell subsidiaries” and “Shell companies” as used in this content refer to entities over which Shell plc either directly or indirectly has control. The terms “joint venture”, “joint operations”, “joint arrangements”, and “associates” may also be used to refer to a commercial arrangement in which Shell has a direct or indirect ownership interest with one or more parties. The term “Shell interest” is used for convenience to indicate the direct and/or indirect ownership interest held by Shell in an entity or unincorporated joint arrangement, after exclusion of all third-party interest.
Forward-Looking statements
This content contains forward-looking statements (within the meaning of the U.S. Private Securities Litigation Reform Act of 1995) concerning the financial condition, results of operations and businesses of Shell. All statements other than statements of historical fact are, or may be deemed to be, forward-looking statements. Forward-looking statements are statements of future expectations that are based on management’s current expectations and assumptions and involve known and unknown risks and uncertainties that could cause actual results, performance or events to differ materially from those expressed or implied in these statements. Forward-looking statements include, among other things, statements concerning the potential exposure of Shell to market risks and statements expressing management’s expectations, beliefs, estimates, forecasts, projections and assumptions. These forward-looking statements are identified by their use of terms and phrases such as “aim”; “ambition”; ‘‘anticipate’’; “aspire”, “aspiration”, ‘‘believe’’; “commit”; “commitment”; ‘‘could’’; “desire”; ‘‘estimate’’; ‘‘expect’’; ‘‘goals’’; ‘‘intend’’; ‘‘may’’; “milestones”; ‘‘objectives’’; ‘‘outlook’’; ‘‘plan’’; ‘‘probably’’; ‘‘project’’; ‘‘risks’’; “schedule”; ‘‘seek’’; ‘‘should’’; ‘‘target’’; “vision”; ‘‘will’’; “would” and similar terms and phrases. There are a number of factors that could affect the future operations of Shell and could cause those results to differ materially from those expressed in the forward-looking statements included in this content, including (without limitation): (a) price fluctuations in crude oil and natural gas; (b) changes in demand for Shell’s products; (c) currency fluctuations; (d) drilling and production results; (e) reserves estimates; (f) loss of market share and industry competition; (g) environmental and physical risks, including climate change; (h) risks associated with the identification of suitable potential acquisition properties and targets, and successful negotiation and completion of such transactions; (i) the risk of doing business in developing countries and countries subject to international sanctions; (j) legislative, judicial, fiscal and regulatory developments including tariffs and regulatory measures addressing climate change; (k) economic and financial market conditions in various countries and regions; (l) political risks, including the risks of expropriation and renegotiation of the terms of contracts with governmental entities, delays or advancements in the approval of projects and delays in the reimbursement for shared costs; (m) risks associated with the impact of pandemics, regional conflicts, such as the Russia-Ukraine war and the conflict in the Middle East, and a significant cyber security, data privacy or IT incident; (n) the pace of the energy transition; and (o) changes in trading conditions. No assurance is provided that future dividend payments will match or exceed previous dividend payments. All forward-looking statements contained in this content are expressly qualified in their entirety by the cautionary statements contained or referred to in this section. Readers should not place undue reliance on forward-looking statements. Additional risk factors that may affect future results are contained in Shell plc’s Form 20-F and amendment thereto for the year ended December 31, 2024 (available at www.shell.com/investors/news-and-filings/sec-filings.html and www.sec.gov). These risk factors also expressly qualify all forward-looking statements contained in this content and should be considered by the reader. Each forward-looking statement speaks only as of the date of this content. Neither Shell plc nor any of its subsidiaries undertake any obligation to publicly update or revise any forward-looking statement as a result of new information, future events or other information. In light of these risks, results could differ materially from those stated, implied or inferred from the forward-looking statements contained in this content.
Shell’s net carbon intensity
Also, in this content we may refer to Shell’s “net carbon intensity” (NCI), which includes Shell’s carbon emissions from the production of our energy products, our suppliers’ carbon emissions in supplying energy for that production and our customers’ carbon emissions associated with their use of the energy products we sell. Shell’s NCI also includes the emissions associated with the production and use of energy products produced by others which Shell purchases for resale. Shell only controls its own emissions. The use of the terms Shell’s “net carbon intensity” or NCI is for convenience only and not intended to suggest these emissions are those of Shell plc or its subsidiaries.
Shell’s net-zero emissions target
Shell’s operating plan and outlook are forecasted for a three-year period and ten-year period, respectively, and are updated every year. They reflect the current economic environment and what we can reasonably expect to see over the next three and ten years. Accordingly, the outlook reflects our Scope 1, Scope 2 and NCI targets over the next ten years. However, Shell’s operating plan and outlook cannot reflect our 2050 net-zero emissions target, as this target is outside our planning period. Such future operating plans and outlooks could include changes to our portfolio, efficiency improvements and the use of carbon capture and storage and carbon credits. In the future, as society moves towards net-zero emissions, we expect Shell’s operating plans and outlooks to reflect this movement. However, if society is not net zero in 2050, as of today, there would be significant risk that Shell may not meet this target.
Forward-Looking non-GAAP measures
This content may contain certain forward-looking non-GAAP measures such as adjusted earnings and divestments. We are unable to provide a reconciliation of these forward-looking non-GAAP measures to the most comparable GAAP financial measures because certain information needed to reconcile those non-GAAP measures to the most comparable GAAP financial measures is dependent on future events some of which are outside the control of Shell, such as oil and gas prices, interest rates and exchange rates. Moreover, estimating such GAAP measures with the required precision necessary to provide a meaningful reconciliation is extremely difficult and could not be accomplished without unreasonable effort. Non-GAAP measures in respect of future periods which cannot be reconciled to the most comparable GAAP financial measure are calculated in a manner which is consistent with the accounting policies applied in Shell plc’s consolidated financial statements.
The contents of websites referred to in this content do not form part of this content.
We may have used certain terms, such as resources, in this content that the United States Securities and Exchange Commission (SEC) strictly prohibits us from including in our filings with the SEC. Investors are urged to consider closely the disclosure in our Form 20-F, File No 1-32575, available on the SEC website www.sec.gov.