Don’t complain, get paid: Kitimat resident offered thousands from LNG Canada

LNG Canada offered thousands of dollars in financial compensation to at least one Kitimat, B.C., resident for their discretion around  “additional incremental flaring and noise” from the gas liquefaction and  export facility, according to a document reviewed by The Narwhal.

In return, the resident would agree to “not make any complaints or  raise any concerns or objections with respect to LNG Canada, the LNG  facility or the works with any third parties, including but not limited  to members of the media, the [BC Energy Regulator] or the District of  Kitimat” related to operations for around one week at the beginning of  November.

The document, shared with The Narwhal by a source who asked that their name not be published, details how LNG Canada  offered to pay more than $6,000 in estimated costs for the resident and  their family to “relocate” around 200 kilometres away to Prince Rupert  for a week — or stay and deal with the impacts. By signing, the resident  would agree to “release and forever discharge LNG Canada and its  affiliates, shareholders, owners, agents, staff and representatives”  from any legal actions against the company, including if the plant’s  operations during this period led to “depreciation in property value, or damage to land or property.”

As The Narwhal previously reported, noise and emissions that smelled like “burnt plastic or burnt  Styrofoam” from the LNG plant have been disrupting some residents’ daily lives for the past several months. LNG Canada has been in its startup  phase for more than a year and, since September 2024, has posted 25 notifications of planned and unplanned flaring events, where excess or waste gas is burnt off. The flame can reach more than 100 metres high.

LNG Canada did not directly answer questions about the details of the  document but acknowledged it has “offered temporary relocation support to some residents during the start-up activity.”

“Flaring in this phase is a normal occurrence and can result in a  period of elevated noise,” a spokesperson wrote in an emailed statement. “We continue to recognize that this may impact some residents living  near the facility.” 

The spokesperson declined to specify how many residents have been offered compensation.

B.C. Premier David Eby declined to comment and referred questions to  the Ministry of Energy and Climate Solutions, which did not respond  prior to publication.

LNG Canada is an estimated $40-billion liquefied natural gas (LNG)  export project jointly owned by Shell, Petronas, PetroChina, Korea Gas  and Mitsubishi. The consortium of companies started shipping overseas in  late June.

Fossil fuel companies have long used  financial compensation as a tool to win community support — and  discourage opposition — to projects like pipelines and processing  facilities.

TC Energy, the company that built Coastal GasLink, which supplies gas to LNG Canada, included a clause in one leaked impact and benefit agreement  that required a First Nations band council to “take all reasonable  actions to persuade [community] members to not take any action, legal or  otherwise, including any media or social media campaign, that may  impede, hinder, frustrate, delay, stop or interfere” with the pipeline  project.

It’s rare, however, for the public to see such a contract.

The compensation offered by LNG Canada to Kitimat residents does not specify wages lost as a result of temporarily relocating to Prince  Rupert.

The anonymous source told The Narwhal they are aware of other Kitimat  residents who signed similar agreements with LNG Canada but not the amount they were offered. They said a decline in construction jobs now  that the facility is built and operating means many locals are feeling  the “strain.”

“Families are focused on keeping the roof over their heads, and food on the table,” they said.

— This article was originally published by The Narwhal