Pipeline Deal Faces Steep Climb as Liberals, First Nations, BC Government Unite in Opposition

Senior members of Prime Minister Mark Carney’s Liberal caucus expressed deep skepticism that a proposed oil pipeline to British Columbia’s northwest coast will ever be built, despite a memorandum of understanding signed with Alberta.

Multiple senior Liberals told Global News the pipeline will never be built without two critical elements the project currently lacks: a private proponent willing to invest billions and consent from BC First Nations who control the territory. First Nations, the provincial government, and Liberal MPs are now coordinating opposition.

Victoria Liberal MP Will Greaves told the National Observer that both he and his constituents are decisively opposed to the agreement. Former environment minister Jonathan Wilkinson said significant First Nations support is needed but currently lacking. Some Liberal MPs told CBC News they were “seething” and “angry” about the deal.

Coastal First Nations, a lobbyist group, delivered categorical rejections of the project. Marilyn Slett, president of the Coastal First Nations-Great Bear Initiative, said in a statement the tanker ban “is not up for negotiation” and that First Nations “will never tolerate any exemptions or carveouts, period.” The nations have no interest in co-ownership of a project that could destroy their way of life, she emphasized.

British Columbia Premier David Eby warned the project must not become an “energy vampire,” arguing it could jeopardize existing projects that depend on First Nations consensus. Ottawa excluded Eby from negotiations between the federal government and Alberta.

Environmental minister Steven Guilbeault resigned from cabinet Thursday in protest, saying climate action plans he worked on are being dismantled. The departure marked an uncommon cabinet exit over policy disagreement.

The memorandum commits Ottawa to declaring the pipeline a priority and making an “appropriate adjustment” to the Oil Tanker Moratorium Act if necessary. Alberta must find private financing and submit a proposal by spring 2026. No proponent has been identified.

Carney acknowledged that without a private sector proponent, “there won’t be a pipeline.” First Nations leaders indicated they are prepared to mount legal challenges if the project proceeds, potentially adding years of delays.



Information for this story was found via the sources and companies mentioned. The author has no securities or affiliations related to the organizations discussed. Not a recommendation to buy or sell. Always do additional research and consult a professional before purchasing a security. The author holds no licenses.

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