By Canadian Press

$1 billion

Indigenous group Natural Law Energy inks deal with TC Energy to invest in Keystone XL

Nov 17, 2020 | 8:02 AM

CALGARY – TC Energy Corp. says it has signed a deal to allow Indigenous group Natural Law Energy (NLE) to invest up to $1 billion in the Keystone XL pipeline project.

Natural Law Energy represents four First Nations in Alberta and one in Saskatchewan.

The investment is contingent on NLE securing financing and is expected to close in the third quarter of 2021. The agreement also contemplates it pursuing an interest in future projects.

The five First Nations include the Nekaneet First Nation in Saskatchewan and the Ermineskin Cree Nation, Montana First Nation, Louis Bull Tribe and Saddle Lake Cree Nation in Alberta.

Alberta Premier Jason Kenney issued a statement following the signing of the agreement, calling it an historic one.

“This historic agreement serves as a model of how to build strong and trusted partnerships between industry and Indigenous groups for a safe, secure and prosperous energy future,” said Kenney. “The partnership highlights the growing desire of Indigenous Peoples to bring jobs and wealth into their communities through the responsible development of Canada’s energy resources.”

“As stewards of the land, air and water, First Nations project partners will help ensure that Keystone XL – and projects like it – continue to be built with the protection of the environment at the forefront of every decision.”

TC Energy approved construction of the project to transport up to 830,000 barrels per day of oil from Alberta to Nebraska earlier this year after the Alberta government agreed to invest and guarantee a project loan.

The pipeline expansion project’s future is still in doubt, however, as Democratic president-elect Joe Biden has said he would cancel its vital presidential permit.

The project, should it continue forward, is expected to support an estimated 17,000 jobs in Canada and 42,000 in the U.S.