Canada, Environmental, Finance, North America

Tahltan Nation purchases 5% interest in three British Columbia hydroelectric facilities

Forrest Kerr hydro

In what it is calling “the largest clean energy investment by a First Nation in BC History, The Tahltan Nation in northwest British Columbia, Canada, has purchased 5% of three hydroelectric facilities in the province.

The share was acquired from Axium Infrastructure Canada and Manulife Financial Corporation, and the three run-of-river projects are 195-MW Forrest Kerr, 66-MW McLymont Creek and 16-MW Volcano Creek. All three are located in Tahltan Territory.

The nation says, “Today’s announcement marks an important milestone for the Tahltan Nation as it continues to move towards its goal of becoming an economically independent and self-sufficient First Nation.”

The Tahltan Nation is now part owner of a clean energy asset that is valued at well over $2.5 billion. They paid $124.3 million for the 5% interest.

The facilities are owned and operated by AltaGas Canada and underpinned by three 60-year, fully indexed electricity purchase agreements with BC Hydro.

The Tahltan Nation originally became equity owners in one of the facilities in late 2014 when a limited partnership formed by the nation, called Volcano Creek Limited Partnership, purchased a 2.7% interest in Volcano Creek. In June 2018, AltaGas sold 35% of its interest in the three plants to a joint venture company indirectly owned by Axium and Manulife, for $922 million.

The nation’s territory spans 95,933 km2 and comprises the communities of Iskut, Dease Lake and Telegraph Creek.