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Kitselas First Nation signs LNG cash, land deal in northwestern B.C.

Most of the cash and all of the land contingent upon plants being built
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RESEARCHERS on the Flora Bank area

THE KITSELAS First Nation is to receive more than $13 million, a parcel of land bordering the Northwest Regional Airport, another parcel in Thornhill and more land at the Dubose Flats south toward Kitimat should LNG projects ever be built.

But the agreement also provides for $1.1 million of that larger amount to be paid right away so the Kitselas can, for example, draw up plans for a new community hall.

The money and land agreement signed today recognizes the Kitselas interest in and around the planned Pacific NorthWest LNG plant on Lelu Island near Prince Rupert and two planned LNG plants at Kitimat – LNG Canada and Kitimat LNG.

Of the money that would flow provided the LNG plants are built, $2 million would go to the construction of a new Kitselas community hall.

“All three [of the land transfers] are tied to LNG,” said provincial aboriginal relations and reconciliation minister John Rustad today.

And one parcel, 25 hectares of provincial Crown land immediately adjacent to the Northwest Regional Airport, transfers upon signing of the agreement.

That parcel is on the left hand side after turning off of Hwy37 South from Terrace to enter the access road to the airport.

“If for some reason we don't get to a final investment decision, and I don't see why we would not, those transfers won't take place,” he said.

Some of the money would be paid by the province when LNG companies make their final investment decisions and other monies when construction on those projects actually starts.

Rustad said the agreement, which follows similar ones for First Nations on the north coast, adds certainty to companies now making their final LNG investment decisions or otherwise deciding how to proceed with projects.

With today's agreement, there are three First Nations now in the region who have not yet signed economic benefits agreements tied to the construction of LNG plants either in Prince Rupert or in Kitimat.

One of those is the Kitsumkalum First Nation just outside Terrace but Rustad said the province has been in extensive talks.

“I'm expecting we'll have some good news soon,” he said.