French energy group TotalEnergies said in a statement on Monday it had signed an agreement with Ksi Lisims LNG for the purchase of 2 million tons per year of LNG for 20 years from a future liquefaction plant, subject to the final investment decision of the project.
TotalEnergies said that was also acquiring a 5% stake in Western LNG, the developer, shareholder, and future operator of the Ksi Lisims LNG project. Ksi Lisims is a liquefied natural gas (LNG) plant with a capacity of 12 million tons per year, located on the Pacific coast of Canada.
TotalEnergies said the acquisition grants it the option to increase its stake in Western LNG and/or to take a direct stake in the plant up to approximately 10% when the final investment decision is made.
It said that the project’s west coast location will give it privileged access to Asia, the largest LNG market.
No financial details were provided.
Fully electrified and powered by hydroelectricity, Ksi Lisims LNG will be one of the lowest CO2-emitting LNG projects in the world, the company said.
(Reporting by GV De Clercq Editing by Tomasz Janowski)