The Ksi Lisims LNG terminal project, situated approximately 80 kilometers north of Prince Rupert, B.C., has secured a provincial environmental assessment certificate, marking a significant milestone for the large-scale initiative despite objections from environmentalists and local hereditary chiefs.
Backed by the Nisga’a Nation and Western LNG, the Ksi Lisims project envisions a floating production facility capable of generating 12 million tonnes of liquefied natural gas (LNG) annually, with an estimated cost exceeding $10 billion and operations slated to commence by late 2028 or 2029.
After an almost four-year evaluation process by the Environmental Assessment Office (EAO), the province announced the approval of the environmental assessment certificate. The project is mandated to meet various legally binding conditions outlined in a detailed reasons for approval document to address and minimize its impact on the nearby community.
Despite facing opposition from environmental groups and Gitanyow hereditary chiefs, who express concerns about potential environmental harm, including threats to crucial salmon habitats, the environmental assessment process includes plans to mitigate wildlife habitat impacts and establish reporting channels for First Nations and mariners to address any issues.
The B.C. government anticipates the project will employ an average of 450 workers during construction, peaking at approximately 800 workers. Following completion, Ksi Lisims LNG is expected to sustain a permanent workforce of 150 to 250 employees on-site for at least 30 years, providing positive economic benefits to local communities and the broader province.
The consultation process for issuing the certificate involved engagement with 10 area First Nations, with some, such as the Kitselas First Nation and the Gitga’at First Nation, supporting the certificate issuance, while others like the Metlakatla First Nation and Kitsumkalum First Nation did not provide consent.
Environment Minister Tamara Davidson and Energy Minister Adrian Dix, who endorsed the reasons for approval document, acknowledged that not all concerns of the area’s First Nations had been fully addressed, pledging ongoing consultation to address the project’s impacts and recognizing the potential cumulative effects on ecosystems and communities in the region.
Critics, including environmentalists and hereditary chiefs, have raised objections to the project, citing concerns such as financial backing from Blackstone Inc., a U.S.-based asset manager with ties to President Donald Trump, and questioning the global competitiveness of Canadian LNG production amid growing environmental challenges.
Environmental advocates have expressed doubts about Canada’s ability to compete on a cost basis in a global LNG market, warning of potential economic risks and emphasizing the need to transition towards cleaner energy solutions to drive sustainable development and job creation in British Columbia.