First Nation signs gas pipeline agreement

Lheidli T’enneh has signed a long-term benefits agreement for the Coastal GasLink natural gas pipeline project.

The 320-member First Nation based near Prince George will receive an initial payment of $248,000, $1.24 million when construction starts and another $1.24 million once the pipeline is in service, the provincial government said Thursday morning.

Lheidli T’enneh will also receive a yet-to-be determined share of $10 million a year in ongoing benefits that will be apportioned among the 20 First Nations along the 670 km route from the Groundbirch area near Dawson Creek to the proposed LNG Canada liquefied natural gas export facility near Kitimat.

“Strong economic development is essential to keep our community thriving,” Lheidli T’enneh Chief Dominic Frederick said in a press release.

“This pipeline benefits agreement with the province gives the people of Lheidli T’enneh the ability to be a full partner in the opportunities LNG offers. It will provide jobs for our young people and a secure future for their families.”

An estimated 32 per cent of the $4.8 billion project will be spent locally in B.C., with economic benefits including over 2,000 jobs during construction and over $20 million in annual property tax payments, according to TransCanada Pipelines Ltd., the project’s backer. The project has already spent over $41 million in northern B.C. plus over $1.9 million in community investments along the route, TransCanada added.

Lheidli T’enneh previously signed a benefits agreement related to the Pacific Trail natural gas pipeline through its membership in the First Nations Limited Partnership, which consists of 16 First Nations.

If built, Pacific Trail would start at Summit Lake, 55 kilometres north of Prince George, and travel 480 kilometres to Kitimat, where it would supply natural gas for the Kitimat liquified natural gas plant.

Agreements with the Burns Lake Indian Band and the Blueberry First Nation in the B.C. Peace related to Coastal GasLink were also announced Thursday.

Aboriginal Relations and Reconciliation Minister and Nechako Lakes MLA John Rustad said each of the agreements shows the provincial government’s “commitment partnership with communities.”

In a separate statement, Coastal GasLink project president Rick Gateman said the agreements “are a reflection of the meaningful way Aboriginal groups are choosing to participate in the long-term development of B.C.’s natural gas industry.”