TC Energy announced on September 29, 2026 that Phase 2 of the Coastal GasLink pipeline will proceed following the Final Investment Decision (FID) on LNG Canada Phase 2, according to the company. The expansion is reported to nearly double the current capacity of about 2.1 Bcf/d (billion cubic feet per day) through new compressor stations and facility upgrades, without adding new pipe. Construction is expected to start in early 2027, with operation targeted for the early 2030s.
Coastal GasLink is reported to be a roughly 670 km pipeline in British Columbia, Canada, carrying natural gas from the Dawson Creek area to the LNG (Liquefied Natural Gas) export facility at Kitimat. Phase 2 is intended to raise the pipeline’s capacity to match the additional gas demand from the LNG Canada Phase 2 expansion.
LNG Canada is reported to serve as Execution Manager for Phase 2, while TC Energy remains the owner, operator and permit holder of the pipeline. The expansion is said to rely on new compressor stations and upgrades to existing facilities rather than new pipeline construction.
The route length is about 670 km and current capacity is about 2.1 Bcf/d, which is expected to nearly double upon completion of Phase 2. Work is planned across five sites, with roughly 2,100 workers at peak. Construction is scheduled to begin in early 2027, with operation in the early 2030s. The total project cost has not been disclosed.
With LNG Canada Phase 2 having reached a final investment decision, the follow-on step of removing the pipeline bottleneck between upstream gas supply and the export terminal is now taking concrete shape.
Raising capacity nearly twofold through compression alone, without new pipe, is generally regarded as a way to secure transport capacity while limiting permitting burden and environmental footprint. The case also shows that a decision to expand LNG liquefaction capacity is quickly followed by investment in supporting gas transport infrastructure. Because the project cost has not been disclosed, the scale of investment is likely to become clearer through future disclosures. As an example of pipeline expansion proceeding in parallel on a North American west-coast LNG export chain serving Asia, it is expected to serve as a reference for the industry.
The first point to watch is whether construction begins on schedule in early 2027. How contractors are selected for the compressor stations at the five sites is also worth following. Attention will also be on when the total project cost is disclosed and whether the early-2030s startup remains aligned with the LNG Canada Phase 2 schedule.