In August 2020, AIOC provided a $93 million loan guarantee to facilitate six First Nations in becoming equity partners in the Cascade Power Project (“Cascade”), a major natural gas-fired power facility being constructed near Edson, Alberta.
Cascade is a $1.5 billion, 900 MW Combined Cycle Gas Turbine (“CCGT”) power plant that is expected to supply 8% of Alberta’s average electricity demand through highly efficient and low-emissions electricity. It is anticipated to be complete in 2023.
The six First Nations invested through a partnership with OPTrust, a major Canadian pension fund, and a holding vehicle owned by Alexis Nakota Sioux Nation, Enoch Cree Nation, Kekewin Cree Nation, O’Chiese First Nation, Paul First Nation and Whitefish Lake First Nation. This makes the First Nations material equity partners in a major Alberta-based power project, expected to lead the province’s transition away from coal-fired power. The project will provide long-term, stable distributions to the partners, in amounts forecasted to total hundreds of millions of dollars over the project’s 30-year life.