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Canada’s LNG, The Cleanest in the World – Resource Works

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Karen Ogen is the CEO of the First Nations LNG Alliance

From Resource Works – See More Stories from Resources Works Here

President Biden’s halt on new U.S. LNG projects offers Canada a chance to showcase its commitment to producing exceptionally clean LNG, highlighting innovative approaches to environmental sustainability and economic growth in the industry.

President Joe Biden’s freeze on approvals of new U.S. LNG-for-export projects has generated new hope for expansion of Canada’s LNG capacity and exports to follow.

From 2015 to 2022, the U.S. experienced an astronomical rise in LNG exports, soaring by an unprecedented 14,000%. Not a single Canadian LNG export project crossed the finish line to completion during this period, a stagnation that speaks volumes about the challenges faced by the industry north of the border. The explosive American growth showcased the country’s aggressive expansion into global energy markets, capitalizing on its abundant shale gas reserves and streamlined regulatory processes.

The Canadian sector’s slower progress, stymied by stringent environmental regulations and the complexities of developing export infrastructure in landlocked regions, starkly diverged from the American approach, which for years proceeded with minimal environmental considerations. If the U.S. LNG industry feels like it has handed lemons with Biden’s new climate test, for Canada it’s a chance to make lemonade.

Thanks to its careful approach, the Canadian LNG sector can now rightly show it is going to be exporting the cleanest LNG in the world when it finally does get the first shipment to market very soon.

Look at some numbers:

  • LNG Canada is projected to operate with an emissions intensity of 0.15 percent of carbon dioxide emissions per tonne of LNG produced, less than half the global industry average of 0.35 per cent per tonne.
  • The Cedar LNG project proposed by the Haisla Nation will have an emissions intensity of just 0.08 percent of CO2 per tonne of LNG. That’s less than a third of the global average.
  • And Woodfibre LNG will have an emissions intensity of just 0.04 percent of CO2 per tonne of LNG produced — and that’s less than one sixth of the global industry average.

Woodfibre LNG will also be a net-zero facility by 2027 – 23 years ahead of government net-zero regulation. Woodfibre will also be net zero during construction – a unique commitment for construction projects in Canada.

Ksi Lisims LNG, proposed by the Nisga’a Nation in B.C., promises to be operating with net-zero emissions within three years of the project’s first shipment. And Cedar LNG’s plans call for emissions to be near zero by 2030.

Woodfibre LNG points out: “We are the first e-drive LNG facility in Canada. This means our liquefaction process will be powered by renewable hydroelectricity, which is 14 times less emitting than a conventional liquefaction process powered by gas.”

Cedar LNG and Ksi Lisims LNG also plan to be all-electric, but that means B.C. Hydro will have to step up to provide the power and to transmit it to the two floating LNG production plants.

LNG Canada’s Phase One plant (which expects to go into production in 2025, but perhaps even late this year) will have to generate a portion of its cooling power by burning LNG. It would be happy to use 100% electricity, but there simply isn’t enough available. LNG Canada would certainly hope for all-electric drives for a Phase Two expansion, which is under consideration.

(Although the Site C dam will add to B.C. Hydro’s power supply in 2025, the province will still be short of electricity by 2030. So B.C. Hydro will soon put out a call for more “clean or renewable energy” from new resources. Hydro will also have to build new transmission lines or upgrade current ones, to get the power to where it is needed; and that includes LNG plants and mines.)

One reason why our emissions will be lower is our cooler climate. That means we use less energy in the process to chill natural gas to the required -161.5°C than do LNG plants on the warmer U.S. Gulf Coast or Mexican coast.

Canadian LNG companies and their natural-gas suppliers have also been working steadily to reduce emissions from wells, pipelines, and processing facilities.

Meanwhile, various studies have found that using LNG from B.C. to replace coal at Asian power-generating stations would reduce their greenhouse gas emissions by anywhere from 35 per cent to 55 percent.

And on top of all this, B.C. LNG has another advantage over U.S. LNG: The shipping distance from B.C. to prime Asian buyers is about 10 days compared to 20 days for shipments from U.S. Gulf Coast LNG plants. That can mean a reduction of 50-60% in emissions from the ships carrying the LNG.

“The distance between Canada and the key market is a huge advantage, where we are the same distance to Asia as Australia,” says Racim Gribaa of Global LNG Consulting Inc.

There is, too, another key reason why Canadian governments should look favourably on LNG exports: the benefits to Indigenous peoples who partner in, are involved in, or work for the projects.

As CEO Karen Ogen of the First Nations LNG Alliance puts it: “It’ll help boost our Canadian economy, it’ll help B.C.’s economy, and most specifically it will help the Indigenous people and our economy.

“If we’re the most disadvantaged population living in poverty, then this should help our people get out of poverty.”

And so, she adds: “Everyone wins if Canada can get into the game.”

Meanwhile, the forced pause south of the border might offer a moment of reflection for the industry, potentially providing Canada with an opportunity to reassess its own approach and perhaps find a middle ground that promotes both environmental sustainability and the economic viability of LNG exports.

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Energy

‘The electric story is over’

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Oil economist Dr. Anas F. Alhajji challenges assumptions about EVs, demand and Canada’s future.

Every episode of Power Struggle offers a different doorway into the global energy system. But every so often I speak with someone who doesn’t merely interpret the data — he dismantles the illusions around it. Energy economist Dr. Anas F. Alhajji is one of those rare voices.

For anyone who follows world oil markets, Anas requires little introduction. He is one of the most widely referenced analysts in global energy economics, managing partner at Energy Outlook Advisors, and a commentator whose views often diverge from the political narratives that dominate Western media. Our conversation, fast-paced and data-driven, reinforced a point I’ve been making for years: many assumptions about the energy transition are overdue for a hard reset.

And if you think the transition is unfolding as advertised, Anas has a simple message: look again.

Peak oil demand — or peak illusion?

We began with the recurring claim, made most notably by the International Energy Agency, that global oil demand is nearing a terminal peak. Anas has long challenged this analysis, but his breakdown was especially stark.

“In May 2025, they said they are revising up global oil demand… They’ve been wrong for 18 straight years. By how much? Two or three years. The total is about 350 million barrels.”

He added an even sharper example.

“In August, they revised up Mexico’s oil demand by a hundred thousand barrels a day — since 2020. With all of this, who is going to believe the IEA?”

If we are going to debate “peak oil demand,” Anas argued, we must start with accurate numbers. And reality, as he laid out, tells a very different story.

Oil demand is higher — not lower

The most striking fact he brought to the table was where global demand sits today.

“Current world demand for oil is 107 million barrels a day.”

That figure sits eight million barrels above 2019 levels, despite rapid growth in electric vehicle sales. And here is where the assumptions collide with the data.

“Right now we have about 55 million EVs… 35 million are in China. The replacement in terms of oil is only 1.3 million barrels a day. That’s it.”

EVs are increasing, yes — but the global vehicle fleet is expanding even faster, and so is mobility demand. A century’s worth of built energy systems does not pivot overnight.

Hybrids now dominate

This brought Anas to the point that may surprise the most people.

“The trend right now is very clear. We are going hybrid. Hybrid. The electric story is over.”

He emphasized that this is not ideological — it is practical. Hybrids outperform EVs on cost, convenience and grid impacts, and consumers are voting with their wallets.

“Hybrid sales have been going through the roof. And this is going to continue… The media reports EV sales all the time. But what matters is the number of EVs on the road.”

This distinction matters. Monthly sales data can create a false sense of momentum. What counts for emissions, infrastructure planning and oil displacement is the stock of vehicles actually in use.

Three ‘scams’ in EV sales reporting

Anas went further, arguing that even sales data does not always reflect real-world adoption. He described what he called three “scams” that inflate EV sales figures globally. He shared one example on air:

“There are many tens of thousands of them in parking lots that are not being sold… A manufacturer calls an official, says: I have 2,000 cars. I will sell them to you. You issue the license plates, you issue the insurance, you get all the subsidies, we split it. But the cars are still in the parking lot.”

On paper, these are “sales.” In reality, they are inventory.

The broader point is that EV market statistics need scrutiny — and policymakers who rely on headline numbers may be basing major decisions on flawed data.

Why Canada still needs another pipeline

We then turned to Canada’s current debates about pipelines and whether the country still needs more tidewater access. Anas answered without hesitation.

“I can tell you without any reservation, we do need another pipeline, another Canadian pipeline to tidewater.”

His rationale was blunt.

“Energy demand globally is increasing at a very high rate in a way that we have never seen before.”

For Canada, this is about competitiveness. Without access to global markets, Canadian oil is priced at a discount — a problem solved only by pipelines reaching the coast.

On LNG: “Canada should go at full speed”

Anas was even more emphatic when discussing natural gas.

“That’s where Canada basically should go at full speed.”

He criticized the idea of a long-term LNG surplus.

“All those ideas about a surplus in LNG… it is nonsense.”

Asian LNG demand is projected to grow sharply, and Canada’s low-emissions LNG — powered by hydro — gives the country a unique competitive advantage.

Why voices like Anas matter

What I value most about conversations like this is the grounding they give us. In energy, narratives and evidence are drifting apart. You may not agree with every assertion, but you can’t dismiss the data. Whether discussing EVs, oil demand, LNG or Canada’s infrastructure, Anas reminds us that aspirations only matter when they intersect with reality.

This episode of Power Struggle is exactly the kind of dialogue we need: sober, data-based, and challenging enough to re-examine assumptions.

You can listen to the full conversation wherever you get your podcasts. If it unsettles a few comfortable stories — that’s the point.

Watch the video on Power Struggle 

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What are the odds of a pipeline through the American Pacific Northwest?

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Can we please just get on with building one through British Columbia instead?

Alberta Premier Danielle Smith is signalling she will look south if Canada cannot move quickly on a new pipeline, saying she is open to shipping oil to the Pacific via the U.S. Pacific Northwest. In a year-end interview, Smith said her “first preference” is still a new West Coast pipeline through northern British Columbia, but she is willing to look across the border if progress stalls.

“Anytime you can get to the West Coast it opens up markets to get to Asia,” she said. Smith also said her focus is building along “existing rights of way,” pointing to the shelved Northern Gateway corridor, and she said she would like a proposal submitted by May 2026.

Deadlines and strings attached

The timing matters because Ottawa and Edmonton have already signed a memorandum of understanding that backs a privately financed bitumen pipeline to a British Columbia port and sends it to the new Major Projects Office. The agreement envisages at least one million barrels a day and sets out a plan for Alberta to file an application by July 1, 2026, while governments aim to finish approvals within two years.

The bargain comes with strings. The MOU links the pipeline to the Pathways carbon capture network, and commits Alberta to strengthen its TIER system so the effective carbon credit price rises to at least 130 dollars a tonne, with details to be settled by April 1, 2026.

Shifting logistics

If Smith is floating an American outlet, it is partly because Pacific Northwest ports are already drawing Canadian exporters. Nutrien’s plan for a $1-billion terminal at Washington State’s Port of Longview highlighted how trade logistics can shift when proponents find receptive permitting lanes.

But the political terrain in Washington and Oregon is unforgiving for fossil fuel projects, even for natural gas. In 2023, federal regulators approved TC Energy’s GTN Xpress expansion over protests from environmental groups and senior officials in West Coast states, with opponents warning about safety and wildfire risk. The project would add about 150 million cubic feet per day of capacity.

A record of resistance

That decision sits inside a longer record of resistance. The anti-development activist website “DeSmog” eagerly estimated that more than 70 percent of proposed coal, oil, and gas projects in the Pacific Northwest since 2012 were defeated, often after sustained local organizing and legal challenges.

Even when a project clears regulators, economics can still kill it. Gas Outlook reported that GTN later said the expansion was “financially not viable” unless it could obtain rolled-in rates to spread costs onto other utilities, a request regulators rejected when they approved construction.

Policy direction is tightening too. Washington’s climate framework targets cutting climate pollution 95 percent by 2050, alongside “clean” transport, buildings, and power measures that push electrification. Recent state actions described by MRSC summaries and NRDC notes reinforce that direction, including moves to help utilities plan a transition away from gas.

Oregon is moving in the same direction. Gov. Tina Kotek issued an executive order directing agencies to move faster on clean energy permitting and grid connections, tied to targets of cutting emissions 50 percent by 2035 and 90 percent by 2050, the Capital Chronicle reported.

For Smith, the U.S. corridor talk may be leverage, but it also underscores a risk, the alternative could be tougher than the Canadian fight she is already waging. The surest way to snuff out speculation is to make it unnecessary by advancing a Canadian project now that the political deal is signed. As Resource Works argued after the MOU, the remaining uncertainty sits with private industry and whether it will finally build, rather than keep testing hypothetical routes.

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