Project Spotlight: Westcoast Natural Gas Pipeline System
- Jul 16
- 2 min read
In July 2025, the Stonlasec8 Indigenous Alliance Limited Partnership — representing 38 First Nations in British Columbia — closed a $715 million transaction to acquire a 12.5% equity interest in Enbridge's Westcoast natural gas pipeline system. It was the first major investment to receive a loan guarantee under Canada's newly launched Indigenous Loan Guarantee Program, and stands as one of the largest single Indigenous equity transactions completed in Canadian energy infrastructure to date.
Project Overview
Enbridge's Westcoast natural gas pipeline system, owned by its wholly-owned subsidiary Westcoast Energy Inc., has moved natural gas through northern and central British Columbia since 1957. The system stretches more than 2,900 km from Fort Nelson in northeast B.C. and Gordondale near the B.C.-Alberta border, south to the Canada-U.S. border at Huntingdon/Sumas, with capacity to transport up to 3.6 billion cubic feet of natural gas per day. The Indigenous equity transaction closed on July 2, 2025.
Project Details
Location: NE British Columbia to the Canada-U.S. border; system spans >2,900 km
Technology: Natural gas transmission pipeline
Capacity: Up to 3.6 billion cubic feet per day
Status: Operating
Deal Value: ~$715 million CAD for a 12.5% equity interest
Industry Partner: EnbridgE via subsidiary Westcoast Energy Inc.
Indigenous Partner: Stonlasec8 Indigenous Alliance LP representing 38 First Nations
Indigenous Ownership
Stonlasec8 acquired an indirect 12.5% equity interest in the Westcoast system through a wholly-owned subsidiary. Returns from the system are distributed equally among the partnership's member Nations after debt-servicing costs, with each Nation deciding independently how to allocate its share — toward housing, infrastructure, elder and youth support, environmental stewardship, or cultural preservation.
"People often ask what economic reconciliation for Indigenous Peoples looks like. This is it." Chief David Jimmie, President and Chair, Stonlasec8 Indigenous Alliance Limited Partnership, and Chief of Squiala First Nation
Financial Details
Deal value of approximately $715 million CAD for the 12.5% stake
A $400 million loan guarantee from the Canada Indigenous Loan Guarantee Corporation
RBC Capital Markets and McCarthy Tétrault advised Enbridge; TD Securities, Boughton Law, and MNP LLP advised Stonlasec8
Why This Project Matters
First deal under a brand-new federal program. This was the first major transaction to receive a loan guarantee under the Canada Indigenous Loan Guarantee Corporation making it an early template for how the program gets deployed at scale across sectors.
Scale through breadth, not concentration. Rather than a single Nation or Tribal Council, 38 First Nations pooled into one limited partnership and reduced individual risk, with returns split equally and allocation decisions left entirely to each individual Nation.
Indigenous Energy Ownership Tracker
The Westcoast Natural Gas Pipeline System is one of the many Indigenous-owned energy assets tracked in IEM's Indigenous Energy Ownership Tracker (IEOT). It was built to centralize project ownership details, identify partnership models, and improve transparency across Canada's energy transition.
🔗 Explore the IEOT:
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