A recent agreement unveiled on Wednesday reveals that the Ksi Lisims LNG project is set to supply liquefied natural gas to a German utility, potentially boosting British Columbia’s yearly greenhouse gas emissions by six to eight percent. This assessment is based on calculations by CBC News, utilizing data from a 2024 Environment and Climate Change Canada report concerning the project’s environmental impact.
Under the terms of the deal, the German utility has agreed to procure one million tonnes of LNG annually from the facility, which is projected to have a total capacity of 12 million tonnes per year. The report outlines two possible scenarios for the project: one where the facility is linked to the B.C. Hydro grid, resulting in lower emissions, and another where gas is used to generate electricity.
In the grid-connected scenario, the construction phase would emit 58,877 tonnes of carbon dioxide equivalent yearly, with an additional 3.5 million tonnes attributed to extraction, transportation, and operation. Should gas be the electricity source, construction emissions would rise to 212,109 tonnes per year, coupled with over 5.1 million tonnes from extraction, transport, and operation.
Despite the potential emissions increase, the project’s stakeholders argue that it could still benefit the global environment by replacing more polluting energy sources like coal. However, uncertainties remain regarding the project’s overall impact on global emissions, contingent on factors such as market competitiveness and the energy sources displaced by the LNG.
The agreement with Germany’s Securing Energy For Europe (SEFE) entails the purchase of up to one million tonnes of LNG annually from Ksi Lisims over a 20-year period, with the facility’s capacity reaching 12 million tonnes per year if developed. The final investment decision for the project is pending.