Canada, British Columbia Sign Cooperative Prosperity Agreement to Accelerate Energy and Trade Projects
Ottawa and Victoria announce major investments in LNG, critical minerals, transportation and clean energy infrastructure
VANCOUVER — The federal and British Columbia governments have signed a sweeping new Cooperative Prosperity Agreement that aims to accelerate major energy, transportation and trade infrastructure projects while strengthening Canada’s export capacity, creating thousands of jobs and expanding partnerships with Indigenous communities.
Prime Minister Mark Carney and British Columbia Premier David Eby announced the agreement on July 2 in Vancouver, describing it as a cornerstone of Canada’s strategy to build a stronger and more independent economy through large-scale infrastructure investment.
The agreement commits both governments to fast-track key energy and trade corridor projects while maintaining environmental protections and expanding Indigenous participation in economic development.
LNG Projects Receive Federal Support
A major focus of the agreement is accelerating liquefied natural gas (LNG) development across British Columbia.
The federal government will work alongside project proponents, First Nations and local communities to speed permitting, financing and construction for several major LNG developments, including:
- LNG Canada Phase 2
- Ksi Lisims LNG
- Cedar LNG
- Woodfibre LNG
Federal officials said expanding LNG capacity will help diversify Canada’s energy exports while strengthening energy security for international partners.
Critical Minerals and Clean Energy Investment
The agreement also includes significant investments in British Columbia’s mining and electricity infrastructure.
Ottawa will invest $500 million toward the expansion of the Red Chris Mine, a project expected to increase Canada’s annual copper production by more than 15 per cent while reducing greenhouse gas emissions by more than 70 per cent once operational.
Canada and British Columbia are building — in partnership with First Nations, in solidarity with workers, and sustainably for generations to come. pic.twitter.com/a56EvK7VjK
— Mark Carney (@MarkJCarney) July 2, 2026
The federal government also committed $3.9 billion toward Phases 1 and 2 of the North Coast Transmission Line, which will provide clean electricity to communities throughout northern British Columbia.
According to the government, the transmission project could generate approximately $10 billion in new economic activity while reducing emissions by as much as three million tonnes annually.
Expanding Canada’s Pacific Trade Corridors
The Cooperative Prosperity Agreement also outlines major investments in transportation infrastructure designed to improve Canada’s access to international markets.
Among the largest commitments is federal investment to expand the Port of Vancouver-Roberts Bank trade corridor, increasing export capacity and supporting more than $100 billion in additional trade capacity.
The federal government also pledged up to $3 billion toward replacing the aging George Massey Tunnel with a new eight-lane crossing along Highway 99.
Officials said the project will reduce congestion in Metro Vancouver while improving freight movement to ports and BC Ferries terminals.
Additional work will focus on expanding trade capacity at the Port of Prince Rupert and the Port of Stewart, particularly for critical minerals and other Canadian exports.
Indigenous Partnerships Central to Agreement
Federal officials emphasized that all major projects announced under the agreement will be developed through consultation and partnership with First Nations.
The agreement envisions expanded opportunities for Indigenous ownership, equity participation, procurement, workforce development and long-term economic benefits.
Environmental Commitments
Alongside economic development, Ottawa and British Columbia announced several environmental initiatives.
These include:
- Creation of a National Carbon Credit Framework.
- Continued protection of the federal North Coast tanker ban.
- A $250 million investment in whale conservation, including protection of Southern Resident Killer Whale habitat.
- Continued implementation of the Oceans Protection Plan.
The agreement also supports sustainable development by pairing infrastructure expansion with emissions reduction measures and clean energy investments.
Workforce and Economic Development
To support the growing demand for skilled labour, the federal government will recruit, train and certify up to 100,000 new Red Seal trades workers through its Team Canada Strong initiative.
The agreement also includes more than $630 million for affordable child care in British Columbia and new measures to strengthen the province’s forestry sector, including modernizing operations and increasing the use of wood in construction.
Looking Ahead
The Cooperative Prosperity Agreement forms part of the federal government’s broader effort to diversify Canada’s exports, strengthen domestic supply chains and accelerate nationally significant infrastructure projects.
Federal officials say the initiatives announced in British Columbia will attract billions of dollars in new investment, create thousands of high-paying jobs and reinforce Canada’s position as a leading global supplier of energy, critical minerals and natural resources.
The agreement also reinforces Canada’s long-term strategy of combining economic growth with environmental stewardship and expanded Indigenous participation in major nation-building projects.
Source: Prime Minister’s Office, July 2, 2026.
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