Canada has signed a deal with German energy company SEFE to export liquefied natural gas from the proposed Ksi Lisims LNG project, according to a source familiar with the matter.

The agreement represents part of Canada's efforts to expand its energy export markets beyond the United States, while Germany continues working to diversify its energy supply sources.

SEFE, formerly known as Gazprom Germania before being nationalized by the German government, would be the buyer for the Canadian LNG under the new arrangement.

The Ksi Lisims LNG project is a proposed liquefied natural gas facility that would process and export Canadian natural gas to international markets.

Germany has been actively seeking alternative energy suppliers as part of its broader strategy to reduce dependence on traditional sources and enhance energy security.