LNG Canada and its joint venture partners have signed an equity option agreement that could allow a partnership representing five neighboring First Nations to invest CA$1 billion ($711 MM) in the company's proposed Phase 2 expansion, creating one of Canada's largest Indigenous ownership positions in energy infrastructure.

The agreement gives MNT Investments LP, a partnership formed by the economic development organizations of the Gitga'at, Gitxaała, Haisla, Kitselas and Kitsumkalum First Nations, the option to acquire a majority ownership interest in a special-purpose entity that would own the planned LNG storage tank for the proposed expansion. The asset would then be leased back to LNG Canada for the life of the project, while LNG Canada would continue operating and maintaining the facility.

The equity option remains contingent on LNG Canada's joint venture participants approving the proposed Phase 2 expansion in Kitimat, British Columbia. The company is targeting a final investment decision (FID) by the end of 2026. If sanctioned, Phase 2 would add two LNG trains and increase the facility's production capacity to 30 MMtpy.

LNG Canada President and CEO Chris Cooper said the agreement expands opportunities for Indigenous participation beyond employment and procurement.

"This agreement recognizes that Indigenous Nations should have the opportunity to participate in major investments like Phase 2, not only through jobs, training, procurement and community benefits, but also through long-term ownership and value creation at a global scale."

The company said the investment would provide participating First Nations with majority ownership of infrastructure supporting Canada's largest LNG export facility, representing a significant Indigenous investment in the country's LNG industry.

Since beginning commercial operations on June 30, 2025, LNG Canada has shipped more than 100 LNG cargoes while continuing to evaluate expansion opportunities at its Kitimat export terminal.

Haisla Nation Elected Chief Councillor Maureen Nyce said the agreement reflects a new model for Indigenous participation in major energy projects.

"Today's announcement reflects what is possible when industry and Indigenous communities come together as partners, investors and decision-makers. This agreement marks a defining point in our collective history—one where Indigenous equity and ownership in energy infrastructure becomes the norm, not the exception."