The agreements are a crucial milestone for the development of Coastal GasLink Phase 2, which still requires a final investment decision by LNG Canada and its joint venture participants, along with approval from Coastal GasL. The agreements create a commercial framework that supports front-end engineering and design activities for the project. If approved, the project will be built under a new execution model involving both Lng Canada and Coastal Gasl. The disruption of global liquefied natural gas supplies by the Iran war makes it more likely that a second stage of Canada's massive LNG facility may be built.