Graphite extraction at Nouveau Monde Graphite’s mining site in Quebec’s Matawinie region.JULIEN PERRON GAGNE PHOTOGRAPHE/Supplied
Prime Minister Mark Carney is expected to add the North Coast Transmission Line in British Columbia and the Nouveau Monde Graphite NOU-T battery project in Quebec to his government’s list of nation-building projects, a source told The Globe and Mail.
Mr. Carney is expected to announce the two additions to the list in northern British Columbia on Thursday, as part of the second group of developments to be fast-tracked by his government through Ottawa’s Major Projects Office. An initial group of five projects was announced in September.
The office, established over the summer to speed along infrastructure and resource development proposals, is central to the federal government’s efforts to increase Canada’s economic independence as its relationship with its largest trading partner, the United States, becomes less predictable. The projects revealed so far have all focused on unlocking resources necessary for future trade and industry.
The second round of projects is also expected to include the Ksi Lisims liquefied natural gas project in B.C., Ontario’s Crawford nickel project, New Brunswick’s Sisson Mine and a hydroelectric project in Iqaluit, two sources told The Globe earlier this week. The list of projects to be announced Thursday has not been made public, and the sources added that it is subject to change.
The Globe is not identifying the sources because they were not authorized to disclose the details publicly.
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B.C.’s government has already committed to building the $6-billion, 450-kilometre North Coast Transmission Line or NCTL from Prince George to Terrace, promising shovels in the ground by 2026. It has asked the federal government to list the hydroelectric transmission line with the office because it wants the federal government to bear a share of the costs of construction.
The new line is meant to secure tens of billions of dollars in private-sector investments, including a string of critical-mineral mines, for the sparsely developed northwest corner of the province.
Nouveau Monde is developing mines in Quebec that will produce graphite, a material considered vital to future industry because of its use in battery anodes. The Globe reported earlier this month that Ottawa plans to stockpile some of Nouveau Monde’s output in a bid to safeguard the country against China’s dominance of the industry.
British Columbia has already secured an outsized share of the Major Projects Office’s attention, with two of the first five projects on the list. One of them is LNG Canada Phase 2, which is an expansion of an existing liquefied natural gas export terminal. The other is an expansion of the Red Chris Mine in northern B.C.
The Red Chris Mine is part of a proposed northwest “critical conservation corridor” that is also being considered by the office. The corridor would support critical minerals development, clean power transmission, Indigenous project leadership and a potential new conservation area the size of Greece.
The Major Projects Office was created by Bill C-5, legislation passed by the Carney government that allows projects meeting specific criteria to be designated as being in the national interest and then fast-tracked through existing regulatory frameworks. The office, led by former Trans Mountain CEO Dawn Farrell, can recommend projects for that designation, or look for other ways to help get them under way.
Bill C-5 has been criticized by some environmental and Indigenous groups, who fear its fast-tracking powers will threaten ecological protections and treaty rights.
But the details of how the listed projects may benefit from Ottawa’s interest remains unclear. Not all projects on the list need to be fast-tracked. LNG Canada Phase 2, for example, has obtained its regulatory approvals and is now awaiting a final investment decision. In some cases, the office may simply provide “strategic support” intended to clear away barriers to development.
Whatever role the office plays, the provinces hope that getting one of their pet projects on the list will be accompanied by financial support from Ottawa.
Mr. Carney is set to meet with the premiers on Nov. 17, and the distribution of federal support for infrastructure investments will be high on the agenda, along with the state of U.S.-Canada trade negotiations. The premiers laid out their priorities for the meeting in a letter to the Prime Minister made public on Tuesday, including “the need for adequate, flexible federal infrastructure investment.”
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Mr. Carney said on Monday that he would announce the new project list in Prince Rupert. The city’s mayor, Herb Pond, welcomed the news, hoping the visit would mean his city would benefit from federal infrastructure investments. But two Indigenous groups in the Prince Rupert area oppose the Ksi Lisims LNG project.
The location for the Prime Minister’s event on Thursday was later changed to Terrace, a 145-kilometre drive east, where the provincial Crown corporation BC Hydro is preparing to launch the NCTL project as a joint venture with Indigenous communities along the route.
The Prime Minister’s Office did not provide an explanation for the change in venue. Terrace Mayor Sean Bujtas said he was only invited to join the event on Wednesday. He said the visit is “exciting” because he expects Terrace to be at the centre of industrial development in the northwest. He noted that most of the proposed projects are dependent on the transmission line being built.
While Terrace is currently the end point for the NCTL project, possible extensions would bring more power to the Port of Prince Rupert, which features heavily in the province’s ambitions for a western transportation network that will open up more Canadian trade with Asia. There are also talks under way with the Yukon government to extend a line into the North. A report released earlier this month by the Yukon Development Corp. describes that extension proposal as “transformational” with the potential to unlock up to $7.6-billion annually in economic growth in the territory.
With reports from Stephanie Levitz and Robert Fife
Editor’s note: A previous version of this article included a photo of a Northern Graphite Corp. mine in Lac-des-Îles, Que., which is not among the nation-building developments Prime Minister Mark Carney is expected to announce for MPO consideration on Nov. 13. The article has been updated with an image of a mine operated by Nouveau Monde Graphite Inc., which is expected to be on the list.