Cedar LNG Project in Kitimat

Ottawa Commits $200 Million to Cedar LNG Project in Kitimat, British Columbia

Written By Danny Nunes

3/23/20251 min read

Kitimat, BC – March 21, 2025

The Canadian federal government has announced a significant investment of $200 million to support the development of the Cedar LNG project in Kitimat, British Columbia, marking a major step forward in the country’s push toward sustainable energy infrastructure. The funding, unveiled by Minister of Energy and Natural Resources Jonathan Wilkinson during a press conference in Vancouver, aims to bolster the liquefied natural gas (LNG) sector while fostering economic growth and Indigenous reconciliation in the region.

The Cedar LNG project, a partnership between the Haisla Nation and Pembina Pipeline Corporation, is poised to become one of the world’s lowest-carbon-intensity LNG facilities. Located on the traditional territory of the Haisla Nation, the project is expected to process and export 3.3 million tonnes of LNG annually, primarily targeting markets in Asia. With an estimated total cost of $5.9 billion, Ottawa’s $200 million contribution underscores its commitment to supporting cleaner energy solutions and Indigenous-led economic initiatives.

The project is expected to create approximately 100 permanent jobs and over 500 temporary positions during its construction phase, providing a significant economic boost to Kitimat and the surrounding region. Local businesses and suppliers are also anticipated to benefit from the increased activity.

Construction on the Cedar LNG facility is slated to begin later this year, with a target completion date of 2028. As the project moves forward, it stands as a test case for balancing energy development, environmental stewardship, and Indigenous empowerment—a trifecta that could shape Canada’s energy landscape for decades to come.

With this $200 million investment, Ottawa is signaling its confidence in the Cedar LNG project as a cornerstone of both economic reconciliation and the transition to a cleaner energy future. For Kitimat and the Haisla Nation, the promise of prosperity is now closer than ever.