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The project could turn out to be “the only one that has a significant chance of succeeding” because of its Indigenous leadership, he said.

If First Nations want to explore it, “it’s hard for the government to say we are not going to talk to you about it, because we are making decisions on your behalf,” Coates said. “That is old style. That is the way we used to do it.”

The project is an example of Indigenous support for natural resource projects that meet their environmental standards and offer them revenue opportunities.

Photo by Chris Bolin/Postmedia

Oilsands giant Suncor, the Fort McKay First Nation and the Mikisew Cree First Nation, both in Alberta, announced Wednesday the completion of the acquisition of a 49 per cent partnership in Suncor’s East Tank Farm Development for $503 million. The two First Nations independently financed the acquisition through $545 million, 4.136 per cent senior secured notes due December 31, 2041. The offering was structured and marketed by RBC Capital Markets.

“The deal represents the largest business investment to date by a First Nation entity in Canada, and not only demonstrates the great potential for partnerships between First Nations and industry but serves as a model for how First Nations can achieve greater self-determination through financial independence,” said Fort McKay chief Jim Boucher.

The Eagle Spirit oil pipeline would be about the same size as the Energy East project cancelled last month by TransCanada Corp., that proposed to transport one million barrels a day from Alberta to the East Coast.