The commercial frame is signed. The steel is not
TC Energy Corporation (TSX: TRP, NYSE: TRP) said March 25 that Coastal GasLink entered into commercial agreements with LNG Canada. The company called that a step toward Coastal GasLink Phase 2, which remains subject to a final investment decision by LNG Canada and its joint-venture participants, and to approvals by CGL. The agreements set a commercial framework for front-end engineering and design and for the execution work that would follow.
If it proceeds, Phase 2 facilities would be built under a new execution model. LNG Canada would lead construction as CGL Phase 2 execution manager. CGL would provide technical advisory services. The structure includes limits on CGL's capital commitments and on overall liability for construction cost and schedule risk. Coastal GasLink remains the 100 percent owner, operator, and permit holder for the pipeline and associated future facilities.
François Poirier, TC Energy's president and chief executive, said doubling transmission through the existing pipeline would strengthen Canada's role as a supplier to global LNG markets. That is a statement about a project that still needs FID. Phase 1 of Coastal GasLink is already in the ground and feeding LNG Canada's operating trains. Phase 2 is compressor stations and associated kit on that corridor, not a new route across British Columbia.
This is pipe paper next to the Kitimat FID file. It does not change NGTL deliveries or TC Energy's 2026 comparable EBITDA guide.
Neutral read
TRP is on the listed pipeline list. Banks were skipped. Signed commercial agreements and an unsigned FID are the facts. Write this as a framework for a possible doubling, not as a sanctioned expansion. Watch LNG Canada's FID notice before treating CGL Phase 2 as committed capital.