A consortium of investors headed by Blackstone Inc. has purchased a 49.9% share in a subsidiary of Mitsubishi Corp. that possesses a stake in the LNG Canada initiative, as stated by the world’s leading alternative asset management firm.
The deal is estimated at $3.1 billion. Additional participants in the agreement are the Canada Pension Plan Investment Board, the Ontario Municipal Employees Retirement System, the Investment Management Corporation of Ontario, and the Public Sector Pension Investment Board.
The Mitsubishi subsidiary owns a 15% share in the project. After the transaction, Mitsubishi will maintain its position as the controlling partner and will have the right to offtake liquefied natural gas (LNG) from the project.
LNG Canada is the first and presently the sole large-scale LNG production and export initiative in Canada. Additional partners comprise Shell (40%), Petronas (25%), PetroChina (15%), and Korea Gas Corporation (5%). In September, the partners made a conclusive investment decision regarding the project’s second phase, which will increase the plant’s production capacity from 14 million to 28 million tonnes. These new production lines are anticipated to start operating in the early 2030s.
LNG production at the LNG Canada project, situated in British Columbia, Western Canada, began in 2025. When construction began, the project’s total investment was projected to be 40 billion Canadian dollars ($28.6 billion).
source: bloomberg.com
