Haisla Nation signs off on multi-billion-dollar Cedar LNG plant for B.C. coast
Another liquified natural gas export plant on British Columbia’s coast is poised to go ahead.
On Tuesday, the Hasila Nation and its partner Pembina Pipeline Corporation announced a green light with their final investment decision in the Cedar LNG plant.
The $US3.4 billion project will see the construction of a floating LNG facility in Haisla territory in Kitimat.
The nation is a majority owner in the project with a 50.1 per cent stake.
“With Cedar LNG, we have proven that Indigenous communities can successfully forge a path to economic independence and generational prosperity,” Haisla Chief Councillor Crystal Smith said in a statement.
“We have created a model for how sustainable energy development should be done, with Indigenous Nations as owners, balancing environmental interests with global demand for cleaner energy.”
Breaking news from Canada and around the world sent to your email, as it happens.
The project has already secured all major regulator approvals and has signed an agreement with the Coastal GasLink Pipeline for the delivery of 400 million cubic feet of natural gas per day, once it is up and running.
Cedar LNG estimates the project will be in service by late 2028.
B.C. Energy Minister Josie Osborne hailed the investment decision.
“Cedar LNG will be one of the largest First Nations majority-owned infrastructure projects in Canada,” Osborne said in a statement.
“It will play a key role in the Haisla Nation’s path to economic independence over the next four decades, employing up to 500 people during construction and providing 100 good, secure jobs, once operational.”
The Cedar LNG plant will be powered by hydroelectricity sourced from BC Hydro, which its proponents claim will make it among the lowest carbon-emitting LNG facilities in the world.
Supporters of the liquified natural gas industry say LNG can help lower global greenhouse gas emissions by helping developing countries switch from burning coal.
But environmentalists say the industry creates its own emissions through the liquefaction and transportation process and the drilling and flaring of natural gas. They also note that methane has a much more potent warming effect than carbon dioxide in the near term, and warn that the gas often leaks during shipping and production.
— With files from the Canadian Press