Eight Indigenous groups and an Alberta-based energy company are becoming the co-owners of a pipeline in which the Alberta Investment Management Corp. has a majority stake.
The TC Energy Corp. is selling its 15 per cent stake in the Northern Courier Pipeline, which transports bitumen along a 90 kilometer route between Fort Hills Mine and a Suncor Energy facility north of Fort McMurray, Alta., to a consortium. The group consists of Athabasca Chipewyan First Nation, Chipewyan Prairie First Nation, Conklin Métis, Fort Chipewyan Métis, Fort McKay Métis Nation, Fort McMurray First Nation, McMurray Métis, Willow Lake Métis Nation and Suncor Energy Corp.
Read: Coastal GasLink pipeline investor AIMCo committed to closing deal despite protests
The pipeline, which is currently managed by TC Energy Corp, is valued at about $8.667 billion.
“Indigenous economic participation and ownership represents a significant step forward in ensuring the long-term viability of Alberta’s energy industry,” said Ben Hawkins, senior vice-president of infrastructure and renewable resources at the AIMCo, in a press release. “Suncor has a long history of collaboration with Indigenous stakeholders and is a well-established and highly-experienced pipeline operator. We look forward to working with our new partners in Norther Courier Pipeline and are confident that Suncor will oversee a smooth and safe transition of operatorship from TC Energy.”
The transaction is expected to close in the fourth quarter of 2021, subject to closing conditions and required regulatory approvals.
Read: AIMCo investing in Alberta pipeline, Caisse taking on shares in mining company
In other investment news, the Caisse de dépôt et placement du Québec’s real estate subsidiary Ivanhoé Cambridge is forming a joint venture with alternative investment manager Walker & Dunlop Investment Partners Inc.
The joint venture will make preferred equity investments in multifamily, student housing and manufactured housing properties throughout the U.S. The venture aims to address the growing need for flexible gap financing in the residential space, according to a press release.
“This partnership with Walker & Dunlop is part of our broader strategy to further diversify our U.S. residential investment portfolio across markets and risk spectrum,” said Charles-Antoine Lussier, senior vice-president of investments, residential and hotels at Ivanhoé Cambridge, in the release.
Read: Ivanhoé Cambridge buys mixed-use Paris real estate for redevelopment
And the Caisse is spending AU$2.3 billion to invest in WestConnex, Australia’s largest road infrastructure project and joining the Sydney Transport Partners consortium.
The STP is acquiring a 49 per cent equity stake in WestConnex from the New South Wales government, taking its total ownership interest to 100 per cent, with the Caisse owning a 10 per cent stake.
“As a longstanding infrastructure investor in Australia, CDPQ is thrilled to join forces with Transurban and Sydney Transport Partners in acquiring a stake in WestConnex, an investment which aligns with our strategy targeting high-quality infrastructure alongside partners with extensive market knowledge and operational expertise,” said Emmanuel Jaclot, the Caisse’s executive vice-president and head of infrastructure, in a press release.
Read: Caisse’s real estate arm investing in logistics site in Australia