BC First Nation strikes pipeline benefit accord for TransCanada’s Coastal GasLink pipeline

TORONTO (miningweekly.com) – The Lheidli T’enneh First Nation of British Columbia has concluded a new pipeline benefits agreement (PBA) for TransCanada’s Coastal GasLink (CGL) pipeline that would run from the north-eastern town of Dawson Creek to the Pacific Ocean at Kitimat.

The British Columbia government expected the PBA to provide the First Nation with direct benefits for the community, as well as support economic development and access to employment opportunities.

“PBAs are a good way for us to partner with First Nations to help them increase employment opportunities and achieve economic development opportunities in their communities. It’s also a good way for us to work with companies to help them develop a liquefied natural gas (LNG) industry that will strengthen our economy for the benefit of all British Columbians,” provincial Minister of Natural Gas Development Rich Coleman stated.

There were 62 PBAs with 28 First Nations in place in British Columbia. There were 20 First Nations along the proposed CGL pipeline project.

The Lheidli T’enneh First Nation would receive an initial payment of C$248 000, C$1.24-million when construction started and another C$1.24-million once the pipeline was placed in service. Lheidli T’enneh would also receive a yet-to-be-determined share of C$10-million a year in ongoing benefits. The ongoing benefits would be available to all First Nations along the natural gas pipeline route.

Lheidli T’enneh previously signed a PBA related to the Pacific Trail Pipeline through its membership in the First Nations Limited Partnership. The partnership comprised 16 First Nations that would share benefits once construction had started.

Located on the Fraser and Nechako Rivers near Prince George, Lheidli T’enneh First Nation had about 320 members and was in the final stage of treaty negotiation.

The British Columbia government used PBAs to partner with First Nations on LNG opportunities, which also included increasing First Nations’ access to skills training and environmental stewardship projects. Provincial benefit-sharing offered First Nations the resources to partner in economic development and was a way for government and First Nations to work together to help grow the LNG industry.

PBAs also complemented industry impact benefit agreements that provided jobs and business opportunities. Lheidli T’enneh had recently signed a long-term project agreement with TransCanada related to CGL, which outlined financial and other benefits and commitments that would be provided to the community while the proposed pipeline was in service.

British Columbia had issued environmental assessment certificates for the proposed CGL and Prince Rupert Gas Transmission projects in the fall of 2014. However, before construction could start, TransCanada would be required to meet conditions set out in respective environmental assessment certificates, and secure various federal, provincial and local government permits to proceed.