Five First Nations Gain Economic Interest in Coastal GasLink Through TC Energy Deal
Olivia Singh
10/14/20262 min read
TC Energy has completed a deal giving five First Nations an economic interest in the Coastal GasLink pipeline, marking the first of two planned Indigenous investment transactions connected to the project.
The agreement was completed with FN CGL Pipeline Ltd. Partnership, whose members include the Haisla Nation, Halfway River First Nation, McLeod Lake Indian Band, Saulteau First Nations and West Moberly First Nations.
Financial terms of the transaction were not immediately disclosed.
Under the deal, the First Nations have acquired an economic interest in the entity that holds TC Energy’s limited partner stake in Coastal GasLink.
First Nations Point to Long-Term Economic Benefits
Chief Roland Willson of West Moberly First Nations said the agreement gives participating communities greater ability to benefit financially from infrastructure operating in the region.
“This investment framework recognizes the importance of partnership, financial certainty and shared prosperity, while supporting our communities’ ability to make decisions about our own economic future,” Willson said.
The agreement follows years of discussion over Indigenous participation and ownership in major energy infrastructure across British Columbia.
TC Energy previously announced in 2022 that it had signed option agreements allowing Indigenous communities along the Coastal GasLink route to acquire a combined 10 per cent equity interest in the pipeline.
Second Indigenous Investment Deal Expected This Year
Tuesday’s transaction is the first of two Indigenous investment deals TC Energy plans to complete involving Coastal GasLink.
The company said the second transaction is expected to close during the fourth quarter of 2026.
TC Energy operates the pipeline and currently holds a 35 per cent interest in the project.
The remaining ownership is held by KKR & Co. and Alberta Investment Management Corp. on behalf of certain clients.
Pipeline Connects Northeast B.C. to Kitimat LNG Terminal
Coastal GasLink is a 670-kilometre natural gas pipeline stretching from northeastern British Columbia to the LNG Canada export facility in Kitimat.
The pipeline transports natural gas to the terminal, where it is cooled into liquefied natural gas and loaded onto ships for export across the Pacific.
The first phase of LNG Canada began operations in summer 2025.
The project is owned by Shell Canada and four Asian partners.
Capacity Expansion Planned
TC Energy has also announced plans to roughly double the existing capacity of Coastal GasLink.
The expansion would involve adding new compressor stations and upgrading existing infrastructure along the route.
For the pipeline’s second phase, LNG Canada is expected to lead construction work, limiting the amount of capital spending and construction risk carried directly by Coastal GasLink’s owners.
The existing Coastal GasLink partnership would remain the owner and operator of the pipeline.
Construction is expected to begin in early 2027, with the expanded system scheduled to enter service in the early 2030s.
LNG Canada Phase 2 Moving Ahead
The pipeline expansion follows LNG Canada’s final investment decision to proceed with Phase 2 of its Kitimat export facility.
That expansion will require significantly more natural gas to be transported to the terminal, driving the need for additional capacity on Coastal GasLink.
The new First Nations investment agreement adds another ownership component to the project as both the pipeline and LNG terminal prepare for their next stages of development.
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