Blockbuster $22B Shell-Arc Deal Bodes Well for Expansion to LNG Canada, Experts Say

Wudang, a liquefied natural gas (LNG) tanker, fills up at an LNG Canada facility, in an aerial view, in Kitimat, B.C., on Nov. 13, 2025. The Canadian Press/Ethan Cairns

Global energy heavyweight Shell PLC’s plan to buy one of Canada’s biggest natural gas producers bolsters the likelihood an expansion of the LNG Canada plant will move ahead, industry experts say.

The deal to buy Calgary-based ARC Resources Ltd. is valued at $22 billion, accounting for the target company’s debt. It gets Shell access to ARC’s holdings in the prolific Montney shale formation that last year produced 374,000 barrels of oil equivalent per day.