LNG Canada to use Chinese steel for Kitimat expansion

LNG Canada says it will use Chinese steel and components for part of its $33billion Phase 2 expansion in Kitimat, B.C., citing the specialized fabrication capacity needed for large modules. The company said no Canadian fabrication yards can currently handle the required work for this part of the project. The announcement follows questions about whether the project would align with Ottawa’s Buy Canadian policy. Prime Minister Mark Carney said the choice of supplier was up to the project proponent, while noting there would be opportunities to buy Canadian steel. LNG Canada said other parts of the expansion may still use Canadian steel, including new compression stations for the Coastal GasLink pipeline. The project is expected to raise production at the Kitimat site from 14 to 28 megatonnes a year once Phase 2 is completed, likely in the early 2030s.