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Canada and Germany make liquefied natural gas deal as Carney looks to diversify from US

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Canada and Germany make liquefied natural gas deal as Carney looks to diversify from US
News

News

Canada and Germany make liquefied natural gas deal as Carney looks to diversify from US

2026-05-27 08:38 Last Updated At:08:50

TORONTO (AP) — Canada has reached a deal to export liquefied natural gas to Germany from a planned Pacific Coast terminal, an official familiar with the matter said Tuesday.

The official confirmed Canada will sign the agreement with Germany’s SEFE group, which stands for Securing Energy for Europe, from the proposed KSI Lisims export facility on the coast of British Columbia. The official spoke on condition anonymity as they were not authorized to speak ahead of Wednesday’s announcement.

The said up to 1 million metric tons (1.1 million US tons) of liquefied natural gas per year will be exported.

Prime Minister Mark Carney has set a goal to double non-U.S. trade in a decade. Oil and gas-rich Canada exports almost all of energy oil and gas to the U.S. currently.

British Columbia Premier David Eby said earlier Tuesday a deal to supply Canadian liquefied natural gas to Germany would be a key step toward the partners behind the Ksi Lisims project deciding to go ahead with their $10-billion Canadian (US$ 7.2 billion) plant and export terminal.

Ksi Lisims, on Pearse Island by the border with Alaska has the permits it needs but the consortium has yet to make a final investment decision paving the way for construction to begin.

Eby said sealing up offtake agreements with buyers is a key step before Ksi Lisims can reach that milestone.

The partnership has already signed supply agreements with a unit of London-based Shell and France-based TotalEnergies.

SEFE is a leading German energy utility. It is the former German subsidiary of Gazprom which Germany nationalized in 2022 as Europe struggles with an energy crisis tied to the war in Ukraine and now the Mideast.

As European countries supported Ukraine, Russia slashed supplies of natural gas used to heat homes, generate electricity and power industry, creating an energy crisis that is fueling inflation and forcing some factories to shut down as prices have risen.

Germany was a major importer of Russian gas before the war.

Canadian Prime Minister Mark Carney arrives to Parliament Hill in Ottawa on Tuesday, May 26, 2026. (Sean Kilpatrick/The Canadian Press via AP)

Canadian Prime Minister Mark Carney arrives to Parliament Hill in Ottawa on Tuesday, May 26, 2026. (Sean Kilpatrick/The Canadian Press via AP)

FILE - B.C. Premier David Eby looks on before a meeting in Vancouver, British Columbia, May 20, 2026. (Ethan Cairns/The Canadian Press via AP, File)

FILE - B.C. Premier David Eby looks on before a meeting in Vancouver, British Columbia, May 20, 2026. (Ethan Cairns/The Canadian Press via AP, File)

PLANO, Texas (AP) — Texans were choosing a Republican nominee for U.S. Senate in Tuesday’s runoff election as polls closed in much of the state, bringing to a close a bitter and expensive primary where President Donald Trump weighed in late in another effort to rid the GOP of leaders he sees as less devoted to him.

Trump's endorsement of state Attorney General Ken Paxton over four-term Sen. John Cornyn gives the challenger a boost and puts Cornyn at risk of becoming the first Republican senator in Texas history to seek the party's nod and lose.

That's despite Cornyn's campaign and allied groups spending roughly $109 million in advertising since last year, the vast majority of it attacking Paxton.

It's the latest GOP contest where Trump has sought to punish a Republican he sees as insufficiently loyal. This month, he has successfully backed challengers to incumbents in Louisiana, Kentucky and Indiana, a sign of his enduring influence among primary voters.

Paxton's campaign and a pro-Paxton super PAC began airing ads promoting the endorsement within 24 hours of Trump's announcement. Cornyn acknowledged Trump's move would have an impact but said he wasn't giving up.

“I know who gets to choose our senators, and it’s the people of Texas,” he said hours after the endorsement.

The winner will face Democratic state Rep. James Talarico in November, when Democrats see hope of winning a statewide Texas office for the first time in decades.

Tuesday's runoffs also will decide Democratic U.S. House nominees for districts in Dallas and Houston that overwhelmingly support Democrats, and a San Antonio-area seat the party wants to flip.

Cornyn led Paxton in the March primary but failed to win a majority. That was after Cornyn and his supporters waged a monthslong ad campaign, mostly attacking Paxton over ethical and personal questions. The two-term attorney general was acquitted on corruption charges in a 2023 impeachment trial, where allegations of extramarital affairs surfaced. Paxton’s wife filed for divorce last year, citing “biblical grounds.”

The alliance of pro-Cornyn groups has continued its attack, outspending Paxton's campaign and two allied super PACs $16.5 million to $5.9 million since March 3, according to the ad-tracking firm AdImpact.

Trump promised to endorse immediately after the primary but didn’t act until after early voting began last week.

“Ken Paxton has gone through a lot, in many cases, very unfairly, but he is a Fighter, and knows how to win,” Trump wrote in a social media post endorsing him.

David Jacobson, a retired 70-year-old Dallas-area resident, said Trump's endorsement was a factor in his decision to back Paxton on Tuesday. While Cornyn has for the most part been a strong Trump supporter, Jacobson generally thinks most politicians have remained in office too long.

“Maybe it’s time for a change,” he said after voting near Dallas.

Linda Williams said she voted for Cornyn, calling him “the lesser of two evils.” She thinks Cornyn has a better chance to beat Talarico this fall.

“Because Paxton is a crook," Williams said after voting in Plano, outside Dallas.

The negative tenor could diminish turnout in an election already complicated by coming the day after Memorial Day, Texas Republican strategist Tyler Norris said.

The dynamic could favor Paxton, whose support draws from the most loyal Trump base in Texas, or “the hardest of the hard core,” Norris said.

Trump, in his endorsement, also poked at Cornyn, saying he “was not supportive of me when times were tough” and that “John was very late in backing me.”

Cornyn suggested in 2023 that Trump could not win the presidency again in 2024 and that his “time has passed him by.” He also was an early critic of Trump’s plan for a border wall between the U.S. and Mexico — a project he now supports.

Cornyn said Tuesday on Fox News Radio's “The Brian Kilmeade Show” that the president's ire was misplaced. There are “grifters," he said, "claiming that I am opposed to the president's agenda, and I think that’s caused some confusion with the president himself. But I’ve been supportive.”

Some GOP strategists have argued that a Paxton nomination would cost millions of dollars more to promote in the fall, when money could be spent defending Republican seats in more competitive states. Democrats need to gain a net of four seats to take the majority. Cornyn has the support of Senate GOP leaders.

Newly elected Rep. Christian Menefee defeated veteran Rep. Al Green in Texas' 18th District, dispatching a longtime House incumbent who was one of Trump's most outspoken critics. The Republican-led Texas Legislature redrew the district when it approved a new House map last year. The new map led to a runoff between incumbents and marks the end of a dizzying series of elections in the Houston area.

Former Rep. Colin Allred and U.S. Rep. Julie Johnson are competing in the Dallas-area 33rd District. Johnson was elected to the seat in 2024, the year Allred lost his U.S. Senate challenge to Republican Sen. Ted Cruz. Allred was running for Senate again this cycle but dropped his bid and instead is looking to return to the House.

Near San Antonio, Democratic leaders are trying to prevent Maureen Galindo, who has expressed antisemitic views, from winning the party's runoff with Johnny Garcia. While Texas lawmakers redrew the 35th District to help Republicans, Democrats view it as within reach and don't want Galindo's past comments to impede them.

This story has been corrected to show that voter David Jacobson is 70, not 71.

Bedayn reported from Austin, Texas. Associated Press reporter Jamie Stengle contributed from Sasche, Texas.

Mike Neal, right, 45, a canvasser for Dallas county clerk candidate Damarcus Offord, Jermaca Brown, center, 32, deputy campaign manager for Rep. Julie Johnson, D-Texas, and Sam Dalton, left, 31, a volunteer with Stonewall Democrats, stand outside the Oak Lawn Branch Library during local and primary runoff elections Tuesday, May 26, 2026, in Dallas. (AP Photo/Gabriela Passos)

Mike Neal, right, 45, a canvasser for Dallas county clerk candidate Damarcus Offord, Jermaca Brown, center, 32, deputy campaign manager for Rep. Julie Johnson, D-Texas, and Sam Dalton, left, 31, a volunteer with Stonewall Democrats, stand outside the Oak Lawn Branch Library during local and primary runoff elections Tuesday, May 26, 2026, in Dallas. (AP Photo/Gabriela Passos)

Candidate signs line the entrance to a polling location as voters cast ballots in local and primary runoff elections Tuesday, May 26, 2026, in Dallas. (AP Photo/Gabriela Passos)

Candidate signs line the entrance to a polling location as voters cast ballots in local and primary runoff elections Tuesday, May 26, 2026, in Dallas. (AP Photo/Gabriela Passos)

Candidate signs line the entrance to a polling location ahead of local and primary runoff elections on Tuesday, May 26, 2026, in Dallas. (AP Photo/Gabriela Passos)

Candidate signs line the entrance to a polling location ahead of local and primary runoff elections on Tuesday, May 26, 2026, in Dallas. (AP Photo/Gabriela Passos)

Texas Attorney General Ken Paxton, a Republican candidate for the U.S. Senate, speaks to supporters at a campaign event in McKinney, Texas, Tuesday, May 19, 2026. (AP Photo/LM Otero)

Texas Attorney General Ken Paxton, a Republican candidate for the U.S. Senate, speaks to supporters at a campaign event in McKinney, Texas, Tuesday, May 19, 2026. (AP Photo/LM Otero)

Sen. John Cornyn, R-Texas, listens to State Sen. Charles Perry, R-Lubbock, during a campaign event in Lubbock, Texas, Tuesday, May 19, 2026. (AP Photo/Annie Rice)

Sen. John Cornyn, R-Texas, listens to State Sen. Charles Perry, R-Lubbock, during a campaign event in Lubbock, Texas, Tuesday, May 19, 2026. (AP Photo/Annie Rice)

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