Coastal GasLink pipe sections on the ground at the Port of Stewart last week. (Coastal GasLink photo)

Coastal GasLink pipe sections on the ground at the Port of Stewart last week. (Coastal GasLink photo)

TC Energy to sell a 65% equity interest in Coastal GasLink pipeline

Once deal is done, Coastal GasLink will secure financing with a syndicate of banks

The company behind the $6.2-billion Coastal GasLink pipeline in British Columbia says it’s made a deal to sell a 65 per cent equity interest in the project.

TC Energy Corp. says in a news release that it has entered into an agreement for the sale to KKR and Alberta Investment Management Corporation (AIMCo), on behalf of certain AIMCo clients.

The pipeline’s planned 670-kilometre route from northeastern B.C. to LNG Canada’s export terminal in Kitimat is intended to deliver natural gas to the $40-billion LNG Canada project.

TC Energy also says it expects that once the deal is done, Coastal GasLink will secure financing with a syndicate of banks in order to fund up to 80 per cent of the project during construction.

It says both transactions are expected to close in the first half of 2020, subject to customary regulatory approvals and consents, including the consent of LNG Canada.

ALSO READ: Coastal GasLink receives first delivery of pipe sections

After the deal closes, TC Energy says it will hold a 35 per cent limited partnership equity interest in Coastal GasLink and will be contracted by the limited partnership to construct and operate the pipeline.

“We look forward to establishing a long-term relationship with KKR and AIMCo as we advance this critical energy infrastructure project,” TC Energy president and CEO Russ Girling says in a news release Thursday.

“We remain fully committed to the project and will continue to construct, deliver and operate the pipeline on behalf of the partnership.”

TC Energy — formerly TransCanada Corp. — announced in 2018 that it intended to reduce its interest in the Coastal GasLink pipeline project, and announced last January that it hired RBC to help it sell as much as a 75 per cent stake in the project.

Construction of the natural gas pipeline — a key part of the multibillion dollar LNG Canada development in Kitimat — led to protests and arrests, although 14 charges were eventually dropped.

The Canadian Press

Like us on Facebook and follow us on Twitter.

Get local stories you won't find anywhere else right to your inbox.
Sign up here

Just Posted

Commercial Street and other areas of Nanaimo’s downtown are now part of a new business improvement area following a petition-against process this spring. (Chris Bush/News Bulletin)
LETTER TO THE EDITOR: BIA process wasn’t fair to small business

Mom-and-pop shops will be challenged to pay the levy during hard times, says letter writer

Nanaimo RCMP report that a number of scams, many of them familiar, have recently resurfaced in Nanaimo and cost victims thousands of dollars. (File photo)
Nanaimo man scammed after lending money and receiving fake gold jewelry in return

RCMP provide details of several recent scams to warn the public

A memorial to former Abbotsford and RCMP police officer Shinder Kirk in Cedar, B.C. Kirk died in a car accident on Cedar Road in December 2018. (Chris Bush/News Bulletin)
Trial begins in Nanaimo for man involved in car crash that killed retired police sergeant

RCMP accident reconstructionist takes stand in trial of Conrad Nikolaus Wetten

Next week Nanaimo singer Laura Kelsey is releasing her new single A Foolish Thing and its accompanying music video. (Video still courtesy Greg Nuspel)
Nanaimo singer joined by wolf, dancers in new music video

‘A Foolish Thing’ is Laura Kelsey’s first professionally made single in seven years

B.C. Minister of Mental Health and Addictions Sheila Malcolmson announces an app that is intended to connect children and youths with mental health and addictions services. (B.C. Government image/Flickr)
5 years in the making: Mental health app for youths launches in B.C.

The province provided $1.6 million to fund virtual care platform

B.C. Minister of Mental Health and Addictions Sheila Malcolmson announces an app that is intended to connect children and youths with mental health and addictions services. (B.C. Government image/Flickr)
5 years in the making: Mental health app for youths launches in B.C.

The province provided $1.6 million to fund virtual care platform

The dash cam footage, taken May 7 at 8:18 a.m. belonged to the driver of a southbound vehicle that recently travelled out of the tunnel. (Reddit/Screen grab)
VIDEO: Dash cam captures dramatic rollover crash on Highway 99

Only one person sustained injuries from the collision, says B.C. Ambulance Services

Chevy stranded on a ledge above a rocky canyon at Mimi Falls near Logan Lake, April 28, 2021. (Photo credit: Margot Wikjord)
Police officer and fire chief team up in risky rescue of stranded dog near Logan Lake

Chevy, a rescue dog, needed rescuing again after getting stuck on a ledge above rocky canyon

Police were on the scene of a fatal shooting in Abbotsford. (Black Press Media files)
B.C. government to give more than $8 million for programs to curb gang violence

221 not-for-profit projects led by local governments and school districts among others will receive a one-time grant

Gord Judson steers his log truck down a forest service road, using two-way radio and call signals to mark his position for oncoming traffic. (B.C. Forest Safety Council)
Planning some B.C. wilderness fishing? Don’t catch a log truck

Remote recreation areas bracing for heavy pandemic pressure

Former University of British Columbia student Stephanie Hale, 22. THE CANADIAN PRESS/Jeff Bassett
Human Rights Tribunal to hear complaint against UBC Okanagan for ‘mishandling’ sexual assault report

Stephanie Hale did not return to campus after the student she alleges attacked her was cleared of wrongdoing

Jennifer Coffman, owner of Truffle Pigs in Field, B.C., poses beside her business sign on Thursday, May 6, 2021, in this handout photo. Her restaurant and lodge have been hit hard by a closure of a section of the Trans-Canada Highway and by the British Columbia government discouraging Alberta residents from visiting during the pandemic. THE CANADIAN PRESS/HO-Jennifer Coffman, *MANDATORY CREDIT*
‘Why we survive’: B.C. boundary towns struggle without Albertans during pandemic

Jennifer Coffman’s restaurant is located in the tiny community of Field, which relies on tourism

NEW CUTLINE Payphone use is declining dramatically. (Black Press Files)

This payphone sits just east of TD Bank in Parksville, on Harrison Avenue. (Emily Vance photo)
Last call approaches for Vancouver Island payphones?

Some payphones don’t get used for days as mobile phones diminishing need

Garden centre manager Jack Olszewski and Chris Beaudoin say business has grown by 50 per cent at the Sooke Home Hardware Store. (Rick Stiebel - Sooke News Mirror)
Flower power: COVID restrictions fuel bloom boom on Vancouver Island’

More people seeking flowers to add colour, says Sooke landscaper

Most Read