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On December 30, 2024, Western LNG LLC (“Western”) completed a private placement of equity securities, securing over $150 million in commitments. This funding fully supports the remaining development activities for the Ksi Lisims LNG and Prince Rupert Gas Transmission (PRGT) projects through to a Final Investment Decision (FID), expected later this year. Together with prior private placements, cumulative investment in support of these projects has reached more than $265 million, over and above the investments in PRGT made by its previous owner.
The private placement was anchored by a commitment from Blackstone Energy Transition Partners, an affiliate of Blackstone Inc. (“Blackstone”) (NYSE: BX). With over $1.1 trillion in assets under management, Blackstone's participation underscores investor confidence in the viability and strategic importance of Ksi Lisims LNG and PRGT.
“Blackstone’s anchor investment in this private placement demonstrates its confidence in the Ksi Lisims LNG and PRGT projects and confirms that our approach to delivering responsible, net-zero-ready energy infrastructure is aligned with market demand,” said Davis Thames, President and CEO of Western LNG. “Ksi Lisims LNG and PRGT are designed to meet or exceed Canada’s rigorous environmental standards and will help meet global energy needs while driving regional prosperity. Western LNG remains committed to working closely with regulatory agencies, Indigenous communities, and local stakeholders to ensure transparency, environmental integrity, and shared benefits. Blackstone’s support positions us to proceed toward a Final Investment Decision for Ksi Lisims LNG and construction of both projects.”
“Our investment in Western LNG reflects our commitment to seeking out high-quality projects with potential to deliver attractive returns for our investors and contribute to global decarbonization efforts,” said David Foley, Global Head of Blackstone Energy Transition Partners. “Global demand for affordable, reliable and more sustainable energy is increasing, and the development and construction of critical energy infrastructure is struggling to keep up. Western is ideally located to connect Canada’s immense low-cost natural gas reserves with Asia, the world’s largest and most rapidly growing market for liquefied natural gas.” JP Munfa, Senior Managing Director at Blackstone Energy Transition Partners, added: “Western’s innovative lower-emission approach and their strong Indigenous partnerships, particularly with the Nisga’a Nation, position their projects to play a critical role in helping to meet the world’s growing cleaner energy needs.”
Western also received significant commitments in this placement from affiliates of Jefferies Financial Group Inc. (NYSE: JEF), Transition Equity Partners, LLC (TEP), and other new and existing private investors. The proceeds of this private placement will support the advancement of discussions with participating Indigenous nations, the completion of front-end engineering for Ksi Lisims LNG and PRGT, and the completion of environmental and regulatory permitting and compliance for both projects. This funding also allows Western to substantially increase staffing levels for both projects this year.
In addition to the funding commitments made in this private placement, Blackstone and the other participants secured equity investment rights at FID in Ksi Lisims LNG. These rights, combined with similar rights already secured by Stonepeak, secures all of the equity capital needed to commence construction upon the project reaching FID. Stonepeak is a leading alternative investment firm specializing in infrastructure and real assets with $72 billion of assets under management.
The Ksi Lisims LNG project, co-developed by the Nisga’a Nation, Western LNG, and Rockies LNG, will be located in northwest British Columbia on Nisga’a Nation treaty land. It is set to be a world leader in lower-carbon LNG production, powered by renewable hydroelectricity. PRGT is co-owned by Western LNG and the Nisga’a Nation, with a future equity ownership opportunity under development for other Indigenous nations along the pipeline corridor. Once built, the project would deliver natural gas from the Western Canadian Sedimentary Basin to the Ksi Lisims LNG terminal, helping to meet growing global energy demand with a reliable and stable energy supply.
Since filing its Initial Project Description in April 2021, Ksi Lisims LNG’s Application for an Environmental Certificate has undergone a comprehensive technical review, including engagement with participating Indigenous nations, regulators, stakeholders, and the public, and is now complete. The Environmental Assessment Office (EAO) has reviewed the Application and released a draft Assessment Report for public comment. The EAO will finalize their Assessment Report and submit it as part of a referral package to the Federal and Provincial Ministers of Environment to support a decision this spring. Meanwhile, PRGT’s amendment filings and request for a Substantial Start Determination are in progress, with decisions from the EAO anticipated this spring and summer. These regulatory milestones are crucial steps that positions Ksi Lisims LNG for a successful FID in 2025.
About Western LNG:
Western LNG is an energy company focused on developing innovative and responsible LNG projects in partnership with Indigenous communities and local stakeholders. Western’s management team is deeply experienced in the development and operation of LNG and related energy infrastructure. For more information visit https://www.westernlng.com.
Media Contact:
Rebecca Scott
Western LNG
rscott@westernlng.com
