B.C. government reaches LNG agreements with Kitselas First Nation

The Kitselas LNG Benefits Agreement provides funding for community and economic development projects, as well as funding and land transfers linked to the construction and operation of proposed LNG export facilities, including Pacific Northwest LNG (PNW LNG) and LNG Canada.

The Coastal Fund Benefits Agreement, meanwhile, defines ongoing financial benefits for the Kitselas First Nation both before and during export operations. This will include those linked to PNW LNG and LNG Canada, as well as any further export facilities that may be constructed in the Prince Rupert or Kitimat areas.

Funding from these agreements will be used for the following:

• Community development project and social initiatives.
• Investment in renewable energy projects, as well as community energy planning.
• Education and skills training, particularly in order for members of the Kitselas community to take part in business or employment opportunities created by LNG projects.
• Economic development, including investment that supports LNG development activities.

The statement also claims that the Kitselas First Nation has entered into a reconciliation agreement with B.C., strengthening the government-to-government relationship, building on a treaty agreement-in-principle that was signed in 2015, and supporting the completion of a final treaty. Included in this reconciliation agreement is funding for a community wellness process to address the effects of industrial development on the Kitselas community.

The PNW LNG project is located in the District of Port Edward and is pending a final investment decision (FID) by Petronas and its venture partners: Sinopec, JAPEX, Indian Oil Corp. and PetroleumBRUNEI. Together, these parties are carrying out an evaluation of the project prior to any FID.

LNG Canada is a join venture (JV) company consisting of Shell Canada Energy and affiliates of PetroChina, Korea gas Corp. and Mitsubishi Corp. It is proposing to construct an LNG export facility near Kitimat.

The Minister of Aboriginal Relations and Reconciliation, John Rustad, said: “As the LNG industry on the north coast develops, these agreements and the support of Kitselas First Nation will help build stronger, healthier, more prosperous communities throughout the region.”

The Minister of Natural Gas Development, Rich Coleman, said: “Together, we are creating jobs and new economic opportunities that will deliver important benefits to the Kitselas First Nation. By diversifying our natural gas sector and shipping clean energy to Asia, government is creating a brighter future for all British Columbians and their families.”

Chief Joe Bevan, Kitselas First Nation, said: “These agreements reflect Kitselas’ continued commitment to sustainable economic development in our territory and in B.C.’s Northwest. Together with our agreements with Pacific Northwest LNG and LNG Canada, they balance our stewardship responsibility for the lands and resources with the objective of participating in the economic future of B.C. Through the Reconciliation Agreement, we expect to grow our government-to-government relationship with the Province to one that is mature, respectful and wide reaching.”

Chief Project Officer, Pacific NorthWest LNG, Wan Badrul Hisham, added: “I would like to commend the true leadership shown by Chief Bevan and council. For over four years, Pacific NorthWest LNG has enjoyed a respectful and productive relationship with the Kitselas First Nation, highlighted by the first Impact Benefit Agreement signed between PNW LNG and an area First Nation. Moving forward, we look forward to continuing the strong relationship and open dialogue with Chief Bevan, council and all members of the Kitselas First Nation.”