Northern Gateway Shares Aboriginal Economics Opportunities Package

Northern Gateway is excited to share the details of our Aboriginal Economics Opportunities Package (Aboriginal Benefits Package).  The design of our benefits offering reflects years of consultation with First Nations and Métis communities along our existing and proposed pipeline rights-of-way.  We’ve looked really hard at finding ways of engaging First Nations and Métis irrespective of their experience with pipelines and the industry. 

We have used that input to develop a package of economic and social commitments for the Aboriginal communities along the route. These commitments are intended to create local and regional economic opportunities and foster long-term sustainability.

We believe these commitments will break new ground by providing an unprecedented level of long-term economic and social benefits to Aboriginal communities in the North.  Ensuring a positive long-term impact on the economy and way of life of northern residents, particularly Aboriginal communities, is paramount to us.

Northern Gateway Aboriginal Benefits Package Highlights:


The most significant way in which Aboriginal people can benefit from the Project is by owning a stake in it and sharing in the revenue it produces.  Northern Gateway is offering 10% equity ownership in the $5.5 billion project.  In order to ensure Aboriginal economic participation was a certainty, Enbridge has committed to make arrangements to find required financing at favourable rates for eligible Aboriginal groups. 

The long-term financial benefits for participating Aboriginal shareholders will be significant. Aggregate equity ownership is expected to generate approximately $280 million in net income to neighbouring Aboriginal communities, over the first 30 years.  Aboriginal shareholders will see this income within the first year of operations – income that could help support the priorities of their people.

All of these benefits and opportunities are determined on the basis of the project scope and unclassified capital cost estimate as described in the May 27, 2010 regulatory application filing with the National Energy Board ($5.5B). When the project advances to the full execution phase, a rigorous and comprehensive classified capital cost estimate will be completed.  This classified estimate will result in a revision of the opportunity values prior to commencement of the procurement and construction of Northern Gateway.

Employment, Training and Procurement

Northern Gateway is committed to hiring as many local people to construct the Project to the greatest degree possible.  For example, Aboriginal people are expected to comprise approximately 15% of construction labour.  Northern Gateway will work to identify direct and indirect employment opportunities for members of neighbouring Aboriginal communities.  We anticipate that combined employment, procurement and joint venture opportunities will reach approximately $400 million in value over the three years during construction. Aboriginal business involvement in construction activities will be dependent upon community capacity and desire to participate.

In relation to potential coastal opportunities, Northern Gateway is actively meeting with third party experts to determine how to maximize employment and build progressive business ownership opportunities within Aboriginal communities. The potential value of the employment and future business ownership opportunities on the coast is currently estimated to be approximately $200 million. 

Northern Gateway Community Trust

Enbridge also has a long history of giving back to the communities in which we operate. Communities have told us they welcome the local investments that a project like Northern Gateway would make possible. To achieve this, we will establish the Northern Gateway Community Trust. As we do on other Enbridge projects, Northern Gateway will contribute one per cent of its annual pre-tax earnings to the trust.  It is anticipated that the trust will generate over $100 million dollars over the 30-year economic life of the Project to help fund community initiatives in Aboriginal and non-Aboriginal communities.

Additionally, Aboriginal communities along the right-of-way will have access to existing Enbridge stewardship and habitat protection initiatives such as Neutral Footprint Program, Natural Legacy, Schools Plus, and Safe Community.

We are very proud of the comprehensive economic package being offered to Northern Gateway Aboriginal communities.  This package is in addition to the lasting legacy of local investment, tax revenue and jobs for the North and over and above the tremendous benefits created by access to new and growing markets for Canadian natural resources. 

Check out the Project website for more information about Northern Gateway.



This message was sent from Enbridge Northern Gateway Pipelines to It was sent from: Northern Gateway Pipelines Limited Partnership, Box 50, One Bentall Centre, Vancouver, BC V7X 1M4. You can modify/update your subscription via the link below.

Unsubscribe  |  Forward This Message