What happened
A Conservative MP, Dean Allison, has drawn attention to the fact that PetroChina, a Chinese state-controlled entity, owns 15% of LNG Canada, the country's largest liquefied natural gas company. This comes as LNG Canada recently announced a final investment decision on Phase Two of its existing export terminal in northern British Columbia.
LNG Canada is a joint venture between several companies, including Shell, Petronas, Mitsubishi Corporation, PetroChina, and Korea Gas Corporation. The company's expansion project is expected to double production capacity and draw approximately $33 billion in private-sector capital.
The issue of PetroChina's stake in LNG Canada has been raised previously, with concerns about national security and the potential for China to use Canada's energy exports as leverage. According to figures, 25% of LNG Canada's exports went to China between June 2025 and January 2026.
Dean Baxendale, CEO of the China Democracy Fund, has expressed concerns that China could use Canada's energy exports as a bargaining chip, similar to how they have done with canola. The Canadian government has not publicly disclosed details of a national security review of PetroChina's stake in LNG Canada, citing confidentiality rules.
