Indigenous Leadership Matters in Canada’s LNG Sector

Today, we’re seeing a powerful shift: Indigenous leadership is increasingly at the forefront of natural resource and energy projects, especially in the liquefied natural gas (LNG) sector- reclaiming control, creating opportunity, and building long-term prosperity on their own terms.

Indigenous Communities at the Center of LNG Development

A growing number of Indigenous peoples are engaging in economic self-determination by being involved in LNG development projects not just as stakeholders but as owners, decision-makers, and leaders in the LNG industry.

They are securing ownership stakes, leading projects, and ensuring their voices are accounted for at each stage of LNG development. Indigenous leaders such as Karen Ogen are paving the way for Indigenous communities to have autonomy over local resource development.

Karen Ogen, former elected chief of Wet’suwet’en First Nation, is CEO of the First Nations LNG Alliance. Created in 2014, this alliance is a collective of First Nations communities involved in sustainable and responsible LNG development and other forms of energy development such as hydro-electricity, wind, and hydrogen.

This alliance serves as a platform to advocate for Indigenous leadership, economic reconciliation, and environmental stewardship in the LNG sector. Because of Indigenous alliances like these, Indigenous communities have garnered a greater amount of control and equity in large-scale, multi-billion dollar LNG projects that can generate significant economic benefits for these communities.

Haisla Nation, a member nation of the First Nations LNG Alliance, has spearheaded the Cedar LNG project. This $4.86 CAD billion project is in partnership with the Pembina Pipeline Corporation and is the first Indigenous-majority-owned, hydro-powered floating LNG facility in Kitimat, BC with Haisla Nation owning a 50.1% majority ownership stake.

Other member nations have leveraged their treaty rights to have full control over development and regulatory processes of LNG project partnerships. For instance, Nisga’a Nation partnered with Western LNG and Rockies LNG Partners to develop a LNG terminal that will produce up to 12 million tonnes of LNG per year from the Western Canadian Sedimentary Basin via the Prince Rupert Gas Transmission pipeline.

Another groundbreaking partnership with Indigenous involvement includes a historic agreement that allows 16 First Nations communities in British Columbia a 10% equity stake set aside by TC Energy for the Coastal GasLink pipeline project. These projects are part of a growing trend where Indigenous communities are pushing for energy sovereignty and involvement to have meaningful influence on natural resource development.

They also exemplify that Indigenous communities can lead or have significant ownership in major energy infrastructure projects as part of their self-determination.

The Economic Future: Jobs, Equity, and Self-Sufficiency

LNG development in Canada has created transformative opportunities for Indigenous communities and meaningful community engagement with local resource development. LNG development projects with Indigenous leadership foster economic growth, skills development, and long-term financial independence.

Projects like LNG Canada and Cedar LNG have prioritized Indigenous hiring practices, with initiatives such as free industrial training bootcamps and employment coordinators actively recruiting from local First Nations. For example, the LNG Canada project employed an average of 390 Indigenous workers monthly over three years and supported skills training that helped graduates secure jobs within and beyond the project.

Procurement opportunities have also been instrumental in growing Indigenous businesses. By issuing quarterly contract notices, providing bid support, and offering feedback on unsuccessful bids, companies like Fluor have enabled Indigenous businesses to thrive in the LNG sector.

Furthermore, equity partnerships, such as the 10% stake held by First Nations in the Coastal GasLink pipeline and the Nisga’a Nation’s leadership in the Ksi Lisims LNG project, provide communities with long-term revenue streams that fund essential services like housing and clean water.

The benefits of Indigenous leadership in LNG development projects also extend to the rest of Canada as these opportunities have encouraged significant foreign direct investment, especially with the demand for Canadian LNG in Asian countries such as Vietnam and Japan.

A New Era of Economic Reconciliation 

The development of LNG in Canada is ushering in a new era of economic reconciliation, empowering Indigenous communities to shape their futures through leadership, ownership, and equitable partnerships. LNG has become a catalyst for transformative change, allowing First Nations to move from the sidelines of resource development to key roles in boardrooms and project sites.

The upcoming first LNG cargo from Haisla territory, led by the Indigenous-majority-owned Cedar LNG project, marks a historic milestone in Indigenous-led development. This achievement not only symbolizes economic self-determination but also sets a precedent for future resource projects in Canada.

Indigenous leadership in LNG, exemplified by figures like Chief Crystal Smith of the Haisla Nation and Karen Ogen of the First Nations LNG Alliance, is redefining the industry by integrating traditional Indigenous knowledge with modern economic strategies.

The First Nations LNG Alliance itself is evolving into the First Nations Natural Gas Alliance, signaling an expanded focus on broader natural gas opportunities and further strengthening Indigenous participation in Canada’s energy sector. These developments highlight how Indigenous-led LNG projects are paving the way for reconciliation, and fostering prosperity while contributing to global energy security and sustainability.

In addition to economic reconciliation, Indigenous leadership in LNG development is about redefining ownership, fairness, and representation in Canada’s economy. For young Canadians, these projects offer a powerful model of what equitable development can look like. As future decision-makers, we can learn from Indigenous communities who have advocated for greater control over their resources.

Their leadership proves that when underrepresented groups achieve economic success, the benefits extend to everyone. By supporting and learning from Indigenous-led initiatives, our generation can advocate for other natural resource sectors to prioritize fairness, long-term natural resource development, and meaningful representation and leadership of Indigenous communities.