Shrinking Canadian expectations
The future of unconventional gas drilling in the western basins is uncertain because of the cancellation of several high-profile LNG projects
In Canada—and especially British Columbia (BC)—gas drilling is (or was) dependent on approvals for multi-billion-dollar liquefaction terminals on the country's west coast. Proponents had to demonstrate at least 20 years of proven reserves to secure export licenses. This, in turn, sparked a prolonged boom in unconventional shale plays such as the Montney. So, despite persistently low North American gas prices, Canadian drilling and production held up reasonably well—as long as there were proposed outlets for the fuel. That changed in July 2017 after Petronas abruptly cancelled a proposed C$36bn ($28.9bn) terminal in Kitimat, on BC's northern shore. A sizeable portion of that outlay, some C$6b
Also in this section
9 January 2026
The Latin American producer’s crude prospects rely on a multi-pronged approach where even the relatively easy wins will take considerable time, effort and cost
9 January 2026
While many forecasters are reasserting the importance of oil and gas, petrostates should be under no illusion things are changing, and faster than they might think
8 January 2026
Indonesia and Malaysia are at the dawn of breathtaking digital capabilities. Their energy infrastructure must keep up with their ambitions
8 January 2026
The next five years will be critical for the North Sea, and it will be policy not geology that will decide the basin’s future
