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TC Energy signs $1B deal to sell minority stake to Indigenous group

Jul 30, 2024 | 3:59 PM

TC Energy is selling a minority stake in it’s Western Canadian natural gas transmission network to a consortium of Indigenous communities for $1 billion.

The Calgary based company announced the deal Tuesday and will enable 72 Indigenous companies to take a 5.34 percent state in it’s Nova Gas transmission system and Foothills pipeline assets.

The deal is backed by the Alberta Indigenous Opportunities Corp and negotiated by a consortium committee representing Indigenous communities in Alberta, BC and Saskatchewan.

Indigenous communities across Canada are showing growing interest in acquiring equity positions in major projects and infrastructure as a way to generate revenue and economic opportunity for their people.

In 2022, for example, Enbridge Inc. struck a $1.1-billion deal to sell an 11.57 per cent interest in seven northern Alberta pipelines to 23 First Nation and Métis communities.

 

*With files from the Canadian Press*

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