Blackstone Leads $3.1 Billion Investment in Mitsubishi's Stake in LNG Canada — Update

By Kosaku Narioka

A Blackstone-led group has agreed to invest $3.1 billion in Mitsubishi Corp.'s interest in a natural-gas liquefaction project in Canada.

The U.S. investment firm said Monday that its funds, in partnership with Canadian institutional investors, have agreed to acquire a 49.9% noncontrolling stake in a Mitsubishi subsidiary that holds the Japanese trading house's interest in the liquefaction business in British Columbia, the project known as LNG Canada.

Mitsubishi Corp. said the funds will join as a financial partner, and the transaction won't affect the Japanese company's LNG offtake volumes or customers.

LNG Canada is Canada's first and only large-scale liquefied-natural-gas export terminal. Its phase-two expansion, announced in September, will double the facility's annual production capacity to 28 million metric tons once completed.

Liquefaction plants turn natural gas into a liquid by cooling down and shrinking its volume so it can be shipped around the world.

The project in British Columbia is a joint venture among Shell, Mitsubishi Corp., Petronas, PetroChina and Korea Gas. Shell holds a 40% stake in LNG Canada and Mitsubishi owns a 15% interest.

The Mitsubishi subsidiary's offtake of 2.1 million tons a year of LNG from the project is expected to double following the expansion.

Since entering the LNG business in 1969, Mitsubishi Corp. has built an extensive portfolio with interests in 13 LNG projects globally. Its natural-gas business spans from upstream development and production, liquefaction, transportation to marketing.

The Blackstone-led investor group includes Canada Pension Plan Investment Board, Ontario Municipal Employees Retirement System, the Investment Management Corp. of Ontario and the Public Sector Pension Investment Board.

Write to Kosaku Narioka at kosaku.narioka@wsj.com

(END) Dow Jones Newswires

November 02, 2026 05:57 ET (10:57 GMT)