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Germany Wants More Canadian LNG, Minister Says, Citing Supply Chain Threats

A German minister says supply chains are "under threat" and Berlin wants more Canadian LNG — but no East Coast export project has reached FID, leaving the demand signal without a supplier.

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Our supply chains are under threat,’ German minister says his country wants more Canadian LNG - BNN Bloomberg
Our supply chains are under threat,’ German minister says his country wants more Canadian LNG - BNN Bloombergelycefeliz / Openverse

Scope of work

  • Germany's economic affairs minister said "our supply chains are under threat" as Berlin signals demand for more Canadian LNG.
  • Canada currently exports no LNG from its Atlantic coast; the first export plant, LNG Canada in Kitimat, BC, is Pacific-facing and largely contracted to Asian buyers.
  • No East Coast Canadian LNG project — including Saint John conversion and Goldboro concepts — has reached final investment decision.

Germany's government is pressing for more Canadian liquefied natural gas, with a senior minister warning that the country's supply chains face persistent threats and that diversified import sources — including Atlantic Canada — remain a strategic priority.

The remarks, reported by BNN Bloomberg, came from the German minister in charge of economic affairs during discussions centered on energy security. "Our supply chains are under threat," the minister said, framing the statement as the reasoning behind Berlin's interest in expanding LNG purchases from Canada.

The comments land at a moment when European gas buyers continue to restructure import portfolios after the loss of piped Russian supply. Germany, which until 2022 relied on Russian gas for a large share of its industrial feedstock and heating demand, has since built floating storage and regasification unit (FSRU) capacity at Wilhelmshaven, Brunsbüttel and other North Sea and Baltic terminals to absorb replacement volumes.

Canadian LNG has been the missing link in that equation. Despite Germany's early and vocal interest — including a 2022 visit by Chancellor Olaf Scholz to Canada that produced a non-binding hydrogen agreement but no LNG offtake — Canada currently exports no LNG from its Atlantic coast. The country's first large-scale export facility, LNG Canada in Kitimat, British Columbia, is on the Pacific side and has long been contracted toward Asian buyers, with startup of Phase 1 expected in the near term.

That leaves any German push for Canadian volumes dependent on projects that do not yet exist. Proposed Atlantic Coast developments, including conversion concepts for the former Canaport terminal in Saint John, New Brunswick, and the long-discussed Goldboro LNG project in Nova Scotia, remain unsanctioned. No Canadian East Coast export project has reached a final investment decision, and none holds a signed offtake with a German utility at this stage.

The minister's statement is therefore best read as a political signal rather than a commercial commitment: Berlin wants optionality, and it wants suppliers it considers stable. Whether that demand converts into firm offtake agreements depends on developers lining up financing, permits and liquefaction capacity on Canada's East Coast — a proposition that has repeatedly stalled over cost and feedgas questions.

For Canadian producers and terminal developers, the German interest adds a second demand pole to the country's LNG ambitions, which until now have been anchored on Asian markets through Kitimat. A European buyer of Germany's scale, with regasification capacity already in place at its FSRU terminals, could materially improve the economics of an Atlantic Coast project — if one reaches FID.

Watch items: the startup sequence at LNG Canada Phase 1, any movement by Repsol or other proponents on Saint John conversion plans, and whether Berlin's interest translates into a framework agreement or offtake MOU on the margins of upcoming bilateral talks.

via Google News: LNG export terminals (Source)

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Staff writer covering industry trends and analytics at Rig & Refinery.

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