Cedar FLNG topside steel cutting ceremony
The FLNG vessel will be partially fabricated at SHI while the full system design progresses. Once completed, it will be transported to Kitimat, located within the traditional territory of the Haisla Nation. The developers noted this project as a new chapter in Indigenous-led LNG exports, emphasizing collaboration, sustainability, and economic opportunity.
Chief Councillor Crystal Smith stated: “To see the floating LNG vessel start to take shape is so incredible. In just a few short years, the vessel will arrive on our shores where it will serve as a reminder of what can be done when Indigenous Nations are given a share and a say in how our resources are used for the benefit of our people and the environment.”
From the outset, the project has prioritized sustainability and environmental protection, as reflected in the choice of a floating facility, aimed at reducing ecological impact. The facility will operate on clean hydroelectric power from British Columbia’s grid and is expected to produce ultra-low-carbon LNG.
The FLNG vessel is scheduled for completion in 2028, with Cedar LNG expected to enter commercial operation later that year. Once operational, the facility will have the capacity to process 400 million standard cubic feet of natural gas per day and produce up to 3.3 million tonnes of LNG annually for export.
Engineering, procurement, and construction (EPC) services for the project are being provided by SHI and Black & Veatch, with GTT designing the vessel’s tanks. The project’s location along the Douglas Channel offers a deepwater, ice-free marine route with direct access to major Asian markets.
Craig Day, Project Director at Cedar LNG, commented: “This is an exciting moment for Cedar LNG as it represents the official start of construction on what will be an innovative, world-class, lower-carbon floating LNG facility. This achievement reflects the extensive planning efforts of our partners – Haisla Nation and Pembina Pipeline – our project team, and Samsung Heavy Industries and Black & Veatch.”
In March 2025, ExxonMobil’s Asia Pacific subsidiary signed an agreement to purchase approximately 1.5 million tonnes of LNG annually from Cedar LNG upon the start of operations. That same month, the project received support from the government of Canada, with a commitment of up to CAD 200 million (approximately USD 139.8 million).