Cedar LNG: Resource Development Through Indigenous Leadership and Financial Innovation

Overview

Cedar LNG stands as a groundbreaking case in Indigenous-led resource development, highlighting both the challenges and critical success factors involved in achieving equity ownership, financial innovation, and low-carbon energy production. As the world’s first majority Indigenous-owned liquefied natural gas (LNG) export facility, Cedar LNG offers insight into how Indigenous equity can enhance project resilience, foster long-term stability, and set a new benchmark for environmental and social governance. A partnership between the Haisla Nation and Pembina Pipeline Corporation, Cedar LNG is located in Kitimat, British Columbia, within Haisla traditional territory—strategically positioned to supply growing global markets.

Overview

Denison Mines Corp. is advancing the Wheeler River Project, the largest undeveloped uranium project in the eastern Athabasca Basin, Saskatchewan, Canada. Comprising two high-grade uranium deposits, Phoenix and Gryphon, the project stands as a pioneering case in balancing technical innovation, financial robustness, and Indigenous partnership.

A Shared Prosperity Agreement (SPA) with English River First Nation (ERFN) underpins the project, securing social licence and increasing certainty for its development. This Agreement, coupled with in-situ recovery (ISR) mining at Phoenix, positions Wheeler River as a benchmark for sustainable and commercially competitive uranium production.

ERFN’s business development efforts are led by the Des Nëdhë Group of Companies (Des Nëdhë), which has direct or indirect investments in 23 companies with annual revenue of over $100M Canadian. ERFN and Des Nëdhë have become leaders when working with industry, through both their lands and resources department, and Des Nedhe. Impressively, ERFN’s vision for sustainable economic development within their Ancestral Lands and strong advocacy for the protection of the environment and the Nation’s interests has been consistently applied over a period of nearly 50-years, representing the collective will of the people of ERFN.

Speakers

The Global Energy Market and LNG’s Role

The global energy market is undergoing a significant transition, with a growing demand for reliable, lower-carbon energy sources. LNG plays a crucial role in this transition, providing a cleaner alternative to coal and oil, particularly in Asian and European markets. Countries are looking for stable, long-term energy solutions that align with net-zero ambitions. Canada, with its abundant natural gas reserves and commitment to environmental sustainability, is positioning itself as a major player in this space. Cedar LNG exemplifies how Indigenous leadership can drive responsible resource development while contributing to global energy security.

A Case Study in Indigenous-led Development

Cedar LNG is a first-of-its-kind Indigenous-owned LNG project, setting a precedent for how major infrastructure projects can be developed with Indigenous equity at the core. The project is designed to deliver low-carbon LNG to international markets while maintaining a strong environmental and governance framework. Its floating LNG facility model minimises land disturbance, and its access to hydroelectric power ensures a lower emissions footprint. These factors position Cedar LNG as a competitive player in the global LNG landscape.

Haisla Nation’s Perspective: Ownership as a Path to Self-Determination

The Haisla Nation sees Cedar LNG as a generational opportunity—one that provides long-term economic benefits, employment, and environmental stewardship. Chief Crystal Smith will discuss the journey of securing majority ownership, the challenges faced in ensuring the project’s alignment with community values, and the broader implications for Indigenous economic self-determination. She will highlight key lessons from navigating regulatory hurdles, securing stakeholder support, and ensuring that economic prosperity directly benefits Indigenous communities. Her discussion will provide a roadmap for how Indigenous leadership can transform resource development.

Corporate Perspective: Aligning Industry and Indigenous Interests

While Cedar LNG is an Indigenous-led project, its success is also a testament to effective partnerships between Indigenous communities and corporate stakeholders. The collaboration with Pembina Pipeline Corporation demonstrates how industry players can support Indigenous ownership while ensuring long-term project viability. This perspective will explore how corporations can engage with Indigenous partners in a meaningful way, ensuring that equity participation leads to shared decision-making, governance alignment, and sustainable financial returns.

Financing Perspective: FNFA’s Role in Unlocking Indigenous Capital

One of the key challenges for Indigenous-led resource projects is access to financing. Ernie Daniels from the First Nations Finance Authority (FNFA) will discuss the innovative financial mechanisms that enabled the Haisla Nation to take an equity stake in Cedar LNG. FNFA is playing a critical role in structuring long-term financing solutions, including a 30-year bond issuance that will help secure the financial sustainability of the project. As highlighted by FNFA, the first tranche of this bond issuance is expected to be launched in late spring or summer, targeting institutional investors such as insurance companies and pension funds. This long-term financing strategy is designed to provide stability for Cedar LNG while attracting key stakeholders who prioritise ESG-aligned investments. This session will highlight how Indigenous communities can leverage financial tools to participate in major economic opportunities without compromising long-term stability.

ESG and Investor Considerations – A Blueprint for Future Projects

Investors are increasingly prioritising projects that align with Environmental, Social, and Governance (ESG) principles. Cedar LNG serves as a prime example of an investment that meets these criteria while ensuring Indigenous economic empowerment. The project demonstrates how Indigenous equity ownership can increase investment security, enhance local buy-in, and align with global sustainability goals. For institutional investors and bondholders, Cedar LNG represents a model for how Indigenous-led projects can attract capital while maintaining strong governance and environmental stewardship.

Enhancing Stability Through Indigenous Ownership

Majority Indigenous equity reduces political and social risks, ensuring long-term project stability.

Sustainability and ESG Leadership

Cedar LNG’s approach balances economic development with environmental responsibility, aligning with investor priorities.

Innovative Financing Models

FNFA’s financial structuring provides a replicable model for unlocking Indigenous capital and ensuring long-term project sustainability.

Strategic Partnerships for Future Growth

This case study offers insights into how Indigenous and corporate stakeholders can build successful, long-term investment relationships.

Cedar LNG: One of the largest Indigenous-Infrastruture Projects in Canada. Source: Canadian Energy Centre & Mining.com

Energy Projects with Indigenous Equity in Canada. Source: Fasken

Distribution of Canadian Energy Projects with an Indigenous Equity Component

Distribution of Canadian Energy Projects. Source: Fasken

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