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Stantec Working on PRGT in Kispiox Valley; Ksi Lisims One Step Closer; Cranberry Workcamp Dismantling

Stantec Working on PRGT in Kispiox Valley; Ksi Lisims One Step Closer; Cranberry Workcamp Dismantling
Some of the trailers haphazardly placed in the Nass region during Fall 2024 as PRGT attempted to achieve its "substantial start" designation.

Highlights

  • As of August 7th, Gitxsan Development Corporation and Stantec employees have been observed doing preliminary environmental work in a variety of areas along the PRGT right-of-way in the upper Skeena and Kispiox areas
  • The EAO referred Ksi Lisims LNG to the BC Ministers of Environment & Parks and Energy & Climate Solutions for their final decision, meaning the project is likely to be approved by early September at the latest despite ongoing objections from many First Nations
  • PRGT work camp on the Cranberry FSR from last fall seems to be being dismantled
  • One compressor station is being added to Coastal GasLink northeast of Prince George to add capacity to support the Cedar LNG export project

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Details

Stantec Begins Preliminary Work on PRGT in Kispiox / Skeena Area

Sightings and conversations the last few days have made it clear that GDC and Stantec are ramping up work on the PRGT project in the Skeena/Kispiox areas. It is likely that Stantec, potentially along with other contractors, is doing similar work on the rest of the pipeline route, but we have no direct reports at this time. Please reach out if you are aware of work occurring elsewhere.

This work seems to be limited to environmental baseline work—water sampling and so forth—and not site prep. By our assessment, this work does not represent a significant data point for adjudicating the question of whether or not the project has undisclosed financing and is moving forward, which remains difficult to assess at this time.

Ksi Lisims LNG Moves Closer Towards Approval

Ksi Lisims has been gradually working its way through the EAO process and towards approval. On August 7th, the EAO submitted their assessment report and recommendations to the Ministers of Environment & Parks and Energy & Climate Solutions, Tamara Davidson and Adrian Dix, respectively, for a final decision. These recommendations are kept hidden from the public until after the decision has been made, but it is more or less a certainty that the EAO is recommending the ministers approve the project—and equally certain that the ministers will do so.

Lax Kw'alaams and Metlakatla First Nations, previously engaged in unsuccessful dispute resolution with the EAO over the project, requested another round of dispute resolution which the province denied. Both nations have raised and continue to raise many issues with the EAO's assessment. Metlakatla in particular submitted a "Notice of Non-Consent" to the province on July 11th, which is exactly what it sounds like. The province sent both First Nations nearly identical letters denying their requests for further dispute resolution, instead offering them "an opportunity to be heard" that, unlike dispute resolution, would not delay the project.

Cranberry Work Camp Being Dismantled

At the end of July, it was reported through hearsay and then confirmed visually that the man camp on the Cranberry Connector is being dismantled with camp trailers being removed. This is perhaps the strongest indicator so far that the project does not have adequate financing lined up and has no intention of starting construction anytime soon. There are no regulatory barriers to continued work on the pipeline sections in the Nass area: unlike the rest of the pipeline, work on these sections is fully approved by the BCER and not dependent on Ksi Lisims approval (because of an exemption BCER issued last year). We will try to confirm the status of this camp again soon—please submit a report if you are in the vicinity.

Cedar LNG is a proposed floating LNG project owned by the Haisla First Nation and Pembina Pipeline Corporation. It intends to tie in to the existing CGL pipeline. TC Energy is building the Mount Bracey Compressor Station in order to add 0.4 bcf/d of capacity to the pipeline which will supply Cedar. Construction of the compressor station has been underway throughout 2025; construction of the Cedar Link connection that goes from LNG Canada to the Cedar LNG site is scheduled to begin in Q3 2025, built by Surerus Murphy Joint Venture (SMJV), the same company building the pipeline connection for Woodfibre LNG in Squamish. Cedar LNG itself is being built predominantly in shipyards in east Asia, but the construction that occurs on site here will be done by a joint venture between Haisla FN and Ledcor, Ledcor Haisla Limited Partnership.

Additional compressor stations, including at Parrott Lakes and near Unist'ot'en camp, remain on the table but are currently dependent on a positive investment decision for LNG Canada Phase Two.

CGL Flow Monitoring

Media coverage of LNG Canada continues to misrepresent the degree to which the project has actually started operating. Here are what we understand to be the flows through Coastal GasLink over the last month, based on Enbridge data at the Sunset Creek/West connection, in million cubic feet per day.

Coastal GasLink flows for the month of July and early August continue to hover around 7% of stated phase one capacity, spiking to about 10% in the last few days.