Canada Pushes LNG Talks With Germany Amid Race Against U.S. Exports

Key Facts:

• Prime Minister Mark Carney in Berlin pledges funding for new port infrastructure to support LNG exports
• Projects include Montreal’s Contrecoeur expansion and Manitoba’s Churchill port revitalization
• Canada aims to deliver LNG to Germany within five years, though experts remain skeptical
• U.S. has surged ahead as world’s largest LNG exporter, signing a $750B energy deal with the EU
• Analysts warn missing this opportunity could be a major economic policy failure for Canada

Prime Minister Mark Carney confirmed in Berlin this week that Canada is reigniting negotiations with Germany to supply liquefied natural gas (LNG), unveiling plans for new port infrastructure projects. Carney cited Montreal’s Contrecoeur expansion and the revitalization of Manitoba’s Churchill port as pivotal steps to opening eastward export routes, saying announcements will follow within two weeks. Energy Minister Tim Hodgson added that Canada hopes to begin LNG shipments to Germany in as little as five years.

Industry experts, however, caution that Canada faces an uphill climb. Past East Coast LNG projects, including expansions in New Brunswick and Quebec, collapsed due to high costs and political opposition. Adam Pankratz of the University of British Columbia warned that new pipelines, regulatory hurdles, and First Nations consultations make Ottawa’s timeline optimistic. Still, supporters argue that rising European demand for natural gas and Canada’s existing LNG Canada facility in Kitimat, B.C., strengthen the business case.

Canada’s push comes as the U.S. cements its dominance in global LNG markets, recently securing a $750 billion export commitment from the EU and building new facilities to expand capacity by 50 per cent. Analysts say Canada risks being left behind if it cannot accelerate approvals and infrastructure development. According to a Carleton University expert group, LNG exports could add $11 billion annually to Canada’s GDP if projects are launched within the next six months.