Enbridge to Sell $1.12B Pipeline Shares to Indigenous Groups

Enbridge Inc. announced on Wednesday that it will sell a C$1.12 billion minority stake in seven oil pipelines in Alberta to Indigenous communities, creating the biggest energy-related Aboriginal partnership in North America.

The non-operating 11.57% interest in the pipelines will be purchased by Athabasca Indigenous Investments (Aii), a newly established organization representing 23 First Nations and Métis communities.

The Canadian government is required by law to hold extensive consultations with Indigenous communities before moving forward with any large-scale new resource projects.

At a news conference, Frog Lake First Nation Chief Greg Desjarlais indicated that the money made from the pipelines would be used to help First Nations by funding house building and helping with mental health problems.

“Our people should not live in poverty in the land of milk and honey,” said Desjarlais.

Pipelines in the Athabasca region of Alberta, including the Athabasca and Wood Buffalo/Athabasca Twin, and tanks, carrying 45% of the oil sands’ output under contract, are included in the deal, which is scheduled to conclude within the next month.

Enbridge CEO Al Monaco has said, “We want to become partners with Indigenous communities across the entire system… on both sides of the border.”

When asked if he would be willing to sell a share in the Mainline oil network, Monaco replied that it was too soon to tell.

Once the extension of the Trans Mountain pipeline is finished, which is anticipated to be late next year, the Canadian government has signaled that it intends to sell at least a part of it to Indigenous groups.

Original source material for this article taken from here