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Metlakatla & Pacific NorthWest LNG Sign Impact Benefit Agreement Term Sheet

METLAKATLA, BC: The Metlakatla Governing Council and Pacific NorthWest LNG have signed a term sheet for an Impact Benefit Agreement for the proposed LNG facility at Lelu Island. The term sheet identifies benefits that will be provided to Metlakatla over a 40 year period, should the project proceed, as well as specific commitments from the company to mitigate environmental effects associated with the project.

Metlakatla Governing Council reached agreement with Pacific Northwest LNG, after an intensive negotiation between the company, the Province of British Columbia, and Metlakatla’s Development Corporation and Stewardship Office to resolve outstanding environmental and economic concerns.

“We have weighed the potential benefits, with the impacts of the terminal proposed for Lelu Island and have worked to negotiate the best agreement for Metlakatla,” says Chief Harold Leighton.

Metlakatla will receive an initial payment for signing the term sheet and providing a letter of support for the project. While the specific terms of the agreement remain confidential, it includes:
• Access to employment
• Training and capacity development
• Financing for cultural support
• Lump sum annual payments based on the number of LNG trains in operation
• Metlakatla participation in ongoing environmental monitoring

Chief Leighton said the agreement represents a significant opportunity for the Metlakatla membership, and will improve the social and economic conditions in his community.

According to Chief Leighton, “Metlakatla has arrived at an agreement with Pacific NorthWest LNG that will benefit our members for the lifetime of the project.”

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Metlakatla has reached separate agreements with the company, the Province and Canada that commit the parties to continue to work on resolving issues regarding disposal at sea, fish and fish habitat, and the cumulative effects of development in the territory.

“Pacific NorthWest LNG would like to commend and thank Metlakatla leadership and staff for the time and effort that led to today’s announcement,” said Michael Culbert, President of Pacific NorthWest LNG. “This agreement exemplifies the constructive dialogue we have engaged in to-date and what can happen when we work together to achieve common goals.”

Chief Leighton also stated that their Stewardship Office entered into negotiations with specific social and environmental concerns, and that Pacific NorthWest LNG has been responsive to these concerns.

“Metlakatla has worked on the environmental assessment of this project from the beginning, and we will continue to hold Pacific NorthWest LNG to a high standard of environmental care,” says Ross Wilson, Director of Metlakatla’s Stewardship Program. “We have ensured they are committed to working with us on our outstanding issues.”

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About Metlakatla First Nation

Metlakatla First Nation is located on the Northwest Coast of British Columbia, approximately 7 km west of Prince Rupert. The name Metlakatla derives from the Ts’msyen Maxłaxaała, which means “saltwater pass.” Metlakatla First Nation has a membership of approximately 900, with a significant portion of the membership residing in the Prince Rupert area.

About Pacific NorthWest LNG
Pacific NorthWest LNG is planning to build a world-scale LNG export facility on Lelu Island in the District of Port Edward, British Columbia. The proposed facility will comprise an initial development of two LNG trains of approximately 6 million tonnes per annum (MTPA) each, and a subsequent development of a third train of approximately 6 MTPA. The proposed facility would liquefy and export natural gas produced by Progress Energy Canada in northeastern British Columbia. Pacific NorthWest LNG is committed to generating new economic and social benefits for the local community and First Nations, British Columbia and Canada in an environmentally safe and sustainable manner. Pacific NorthWest LNG is majority-owned by PETRONAS. JAPEX, Sinopec/Huadian, Indian Oil and PetroleumBRUNEI are also partners in Pacific NorthWest LNG and its associated natural gas supply.

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