UAE’s XRG Considers Buying Stake in LNG Canada from PetroChina

Abu Dhabi's XRG, the international investment arm of Abu Dhabi National Oil Company (ADNOC), is exploring the purchase of an equity stake in the Shell-led LNG Canada project, according to a report by Bloomberg cited by IntelliNews. Sources familiar with the matter stated that the Emirati firm has held discussions with existing backers, including PetroChina Co., regarding the acquisition of part of their holdings.

PetroChina currently holds a 15% equity interest in the C$40 billion ($28.5 billion) liquefied natural gas terminal located in Kitimat, British Columbia. The venture is operated by Shell, which holds a 40% stake, alongside Malaysia's Petronas with 25%, Japan's Mitsubishi Corp with 15%, and Korea Gas Corp (KOGAS) holding 5%.

Sources noted that the deliberations remain preliminary and there is no certainty that the discussions will lead to a transaction. Representatives for XRG, Shell, and LNG Canada declined to comment, while PetroChina did not immediately respond to requests for comment.

The Kitimat facility began operations in 2025 with an export capacity of 14 million metric tons per year, shipping super-chilled gas primarily to China, Japan, and South Korea. Consortium partners are currently evaluating a multibillion-dollar Phase 2 expansion to double capacity to 28 million metric tons annually, with an investment decision anticipated later this year.

The potential entry into LNG Canada aligns with XRG's stated corporate strategy to establish itself among the top five global suppliers of natural gas and petrochemicals through overseas infrastructure acquisitions.