Factbox: Indigenous investment in Canadian energy projects

Hydro One

02/04/2024 11:00

WINNIPEG, Manitoba, April 2 (Reuters) - Canada's First
Nations are buying stakes in Canadian energy projects at an
accelerating pace as they seek economic benefits from projects
on their land and companies look to raise capital.    
    Here are some of the opportunities and recent deals:
    
    UPCOMING:
    
    Trans Mountain: The Canadian government owns the
C$34-billion ($25.06 billion) oil pipeline that runs from
Alberta to the Pacific coast and plans to sell it, at least in
part to First Nations.
    
    Coastal GasLink: Operator TC Energy  TRP.TO  signed an
option in 2023 to sell 10% of the British Columbia (B.C.)
natural gas pipeline to Indigenous communities.
    
    Mainline: Enbridge  ENB.TO  is open to Indigenous
part-ownership in the North American oil pipeline network but
any deal may be complex since the pipeline runs through both
Canada and the U.S., said executive vice-president of liquids
Colin Gruending.
    
    B.C. Northwest Transmission Line expansion: BC Hydro is
talking with K'uul Power, a consortium of First Nations, to buy
50% of the C$3-billion project.
    
    RECENT DEALS
    
    * Enbridge sold a C$1.12-billion minority stake in seven
Alberta oil pipelines to a group of Indigenous communities in
2022.
    
    * Suncor  SU.TO  signed a memorandum of understanding with
Fort McKay First Nation in March to assess a potential oil sands
lease.
    
    * Ksi Lisims LNG, a liquefied natural gas (LNG) export
project in British Columbia, is being developed by Nisga'a
Nation, Rockies LNG and Western LNG. Decisions by the B.C. and
Canadian governments are expected in late 2024.
    
    * Cedar LNG, an LNG export project in British Columbia, is
majority-owned by Haisla Nation in partnership with Pembina
Pipeline  PPL.TO . Final investment decision is expected in
mid-2024.
    
    * Ontario electricity transmission and distribution company
Hydro One  H.TO  created a model in 2022 to offer First Nations
a 50% stake in all future large-scale transmission line
projects.
    


($1 = 1.3569 Canadian dollars)

 (Reporting by Rod Nickel in Winnipeg, Manitoba
Editing by Alistair Bell)
 ((rod.nickel@tr.com; X: @RodNickel_Rtrs;))