Canada to Sell Pipeline Stake to Indigenous Groups Through Special Vehicle
- Trans Mountain stakes will provide communities with cash flow
- Government to begin talks with groups along pipeline route
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Canada plans to sell a stake in the Trans Mountain oil pipeline to individual indigenous communities through a special-purpose vehicle, allowing the government to balance competing groups’ requests to own a piece of the controversial project.
The groups will be provided with access to capital so they don’t have to risk their own money to participate, according to a letter from Deputy Prime Minister Chrystia Freeland’s office seen by Bloomberg. The communities’ equity interest in Trans Mountain will provide them with cash flows and allow them to jointly exercise governing rights, according to the letter, which was dated Aug. 2.