The Haisla Nation Council says it’s surprised to learn that the Australian company, Woodside Petroleum Ltd, is following Chevron Canada Ltd.’s footsteps and is pulling out of the Kitimat LNG (KLNG) project.
Woodside wants to sell its 50 per cent stake in the 480-kilometre Pacific Trail Pipeline and the proposed LNG facility at Bish Cove, saying it did not easily arrive at the decision to back out.
The Haisla Nation council is looking for more clarity and is eager to talk to both Woodside and Chevron about the future of the project, Haisla Nation stated in a press release.
The council will also be reviewing all of KLNG’s obligations with the Haisla Nation under terms of the benefits agreement signed in 2006.
The First Nations Limited Partnership, which represents 16 First Nations communities in northern B.C., also agrees that Woodside’s decision to sell is both disappointing and poses a threat to its members’ commercial interests.
The Haisla Nation Council stated when they gather more information and a clear understanding of the state of the project and its future, they will publicize the information so the Haisla community has a better understanding of what the next steps are for the project.
In the meantime, the Haisla Nation council states its main focus is now on developing the Haisla-led Cedar LNG project, which is a proposed export facility that plans on producing low-cost LNG for Asia Pacific markets.
Though Chevron announced in mid-March it will no longer be funding its portion of the Kitimat LNG project, Kitimat’s mayor, Phil Germuth, said Chevron still has a commitment to keep the project in what he termed care and maintenance relating to pre-construction work that has already been committed.
Germuth also said the Kitimat council will meet with Woodside and Chevron in the near future to assure that the companies’ departures occur in a manner that will leave open economic opportunities for the community and region.