Next Chapter of Shell’s Canadian LNG Project Brings Fluor-JGC JV Multibillion-dollar Award

September 29, 2026 · 9 hours ago

This contract is structured primarily on a lump-sum turnkey basis, with certain portions to be executed on a cost-plus basis.

A joint venture (JV) between Texas-based engineering firm Fluor Corporation and Japan’s JGC Holdings Corporation has been hired to work on bringing to life the expansion of the liquefied natural gas (LNG) facility located in Kitimat, British Columbia, Canada.

Fluor and JGC’s JV has been selected to deliver engineering, procurement, fabrication, construction, and commissioning for Phase 2 of LNG Canada’s LNG export facility in Kitimat, British Columbia.

The joint venture received notice to proceed (NTP) following Shell’s final investment decision (FID) for the project. Fluor has confirmed that it will recognize its $7.5 billion share of the multibillion-dollar contract in the third quarter of fiscal 2026.

Jim Breuer, Chief Executive Officer of Fluor, commented: “LNG Canada Phase 1 was a landmark achievement for Fluor, and we are excited to carry that momentum into the next chapter.

“The decision to proceed with Phase 2 reflects confidence in Canada’s ability to responsibly develop its natural gas resources and connect them with global markets. Our teams will apply the experience and lessons learned from Phase 1 to deliver a successful project.”

Phase 2 will encompass the construction and commissioning of an additional LNG storage tank and two new liquefaction units, known as trains, doubling the facility’s production capacity to approximately 28 million tonnes per annum.

Fluor explains this expansion will enhance processing, storage, and shipping capabilities to meet growing LNG demand. The Phase 2 award builds on the joint venture’s delivery of Phase 1 and its established track record on the project.