Two Indigenous communities in the northwest region of British Columbia are initiating legal action against the Canadian government to block the approval of the Ksi Lisims floating liquefied natural gas (LNG) facility and marine export terminal close to Prince Rupert. The Lax Kw’alaams Band and the Metlakatla First Nation have separately filed judicial reviews in the Federal Court, alleging that the Minister of Environment and Climate Change disregarded their concerns regarding the negative impacts of the extensive LNG project.
Last month, the Impact Assessment Agency of Canada disclosed that the minister had authorized the development of the facility off the northwest coast of British Columbia. Federal Energy Minister Tim Hodgson praised the decision, following shortly after British Columbia’s approval, as a demonstration of the federal government’s “one project, one review” strategy, which relied on the province’s evaluation.
In court documents, the Metlakatla First Nation argues that the decision was based on “speculative economic concepts” to justify the adverse effects of the project, disregarding the “increasing evidence” indicating its lack of economic viability. The Lax Kw’alaams Band contends in legal filings that the project threatens their Aboriginal rights and title by being situated in their traditional territory, potentially leading to perpetual displacement.
Both Indigenous groups claim outstanding Aboriginal title rights for the Mylor Peninsula in British Columbia Supreme Court, where the construction of a transmission line is required to power the natural gas facility. Neither the government nor the Ksi Lisims project team has formally responded to the allegations in court yet.
The project aims to establish two large floating facilities near Pearse Island in northwest British Columbia, with the capacity to process two billion cubic feet of gas daily and export 12 million tonnes of LNG annually.
Earlier in September, two additional legal challenges were filed in British Columbia, asserting that the pipeline essential for supplying the project had not been “substantially started,” contrary to a provincial government decision made in June. The assessment of being “substantially started” allowed the environmental assessment certificate approving the construction of the Prince Rupert Gas Transmission line, issued in 2014, to remain valid.
In a separate incident in September, the Gitanyow hereditary chiefs’ attempt to challenge the Ksi Lisims project in court was unsuccessful. They contended that they had not been adequately consulted.
The project is a collaboration between the Nisga’a Nation, Rockies LNG Limited Partnership, and Western LNG. However, project documents reveal that the assets will be built, owned, and operated by wholly owned subsidiaries of Western LNG, headquartered in Houston, Texas.