Northeast B.C. is a resource powerhouse

Though sparsely populated, the plains and foothills of the Northeast make an outsized contribution to B.C.’s economic output. This is the wellspring of the energy industry, home to natural gas exploration, production, transmission and processing as well as much of the renewable hydroelectric and wind power that’s helping fuel the province’s energy transition.

The Northeast is also the locus of metallurgical coal mines that supply the raw material for steel mills as far away as South Korea and Japan. It boasts a substantial forest sector, though this has suffered declines in recent years related to a falling timber supply, tariffs and duties and other issues. And, contiguous with the prairie provinces, it has a resilient agriculture industry based on grains and cattle ranching.

Statistics consistently show the Northeast has the highest workforce participation rate among working-age people in B.C. and among the highest average household incomes. With average home prices roughly a third of the cost of Metro Vancouver, it’s a place where young families can thrive.

The Site C hydroelectric project on the Peace River is now complete. In the coming years, it is projected to increase BC Hydro’s electrical output by approximately 8 percent. And more green energy may be on the way. Saulteau First Nations and Natural Forces have plans to expand their existing Sukunka wind farm with the Sukunka North Wind Project, an array of up to 10 seven-megawatt wind turbines south of Chetwynd. The Saulteau are also working with EDF Renewables to bring the 200-megawatt Taylor Wind Project online. Not to be outdone, the West Moberly First Nations have a joint venture with Innergex to build the 200-mW Stewart Creek Wind Project.

B.C.’s gas finally finds its market

The full impact on the natural gas sector of LNG Canada’s offtake has yet to be felt, and three more LNG export facilities are in the works. This promises to finally see the enormous Montney and Horn River gas formations, once considered too remote to be economical, to be developed at scale. Pipeline company Enbridge has plans for expansion of its Sunrise network in the region to boost the flow of natural gas to southern B.C. and the U.S. Pacific Northwest.

Pacific Canbriam, which already operates the Altares gas plant in the Northeast, has applied to construct a second processing facility, Kobes, northwest of Fort St. John. It is meant to supply gas to the Woodfibre LNG export terminal under construction near Squamish. Still awaiting a final investment decision from proponent NorthRiver Midstream is the Northeast B.C. Connector Project, consisting of two liquid natural gas pipelines running from Wonowon, north of Fort St. John, to a delivery site in Alberta.

Looking further into the future, Foresight Canada and B.C.’s Clean Energy and Major Projects Office are exploring the opportunity to create a “hydrogen hub” in the Northeast that would capture “blue” hydrogen derived from hydrocarbons for use in emissions-free heavy truck and rail transport while sequestering the carbon dioxide produced deep underground.

Conuma Resources, which restarted three idled steelmaking coal mines near Tumbler Ridge between 2016 and 2020, is now taking steps to revive the Quintette and Peace River Coal mines to replace supply from its earlier acquisitions, now becoming depleted. These larger resource sites are expected to support mining activity for decades to come. Meanwhile a Calgary company, CTI Plus Resources, has entered the regulatory process to bring a new greenfield mine, Rocky Creek, into production south of Chetwynd.

Canfor Corp.’s decision to close its Plateau and Fort St. John sawmills in late 2024 was a blow to the area’s forest industry, leaving loggers and remanufacturers looking for ways to create new products, markets and supply chains.

The 2021 Yahey court decision, which found that past resource development had cumulatively infringed on the rights of Treaty 8 First Nations, and the ensuing 2023 accord between the Blueberry River First Nation and the provincial government has reconfigured the pathways to development in the Northeast. New relationships are intended to be more inclusive and responsive to the interests of the area’s Indigenous inhabitants while also establishing certainty for resource developers and investors. Bit by bit, the stakeholders are establishing a template for land and resource management being watched across Canada.