Ridley Terminals gets new owners, as Federal Government divests ownership of North Coast industrial mainstay

A 350 million dollar deal has closed between the Federal Government of Canada and Riverstone-AMCI that will see ownership of Ridley Terminals transfer to the global investment groups.

Once the deal closes, both the Metlakatla First Nation and Lax Kw'alaams Band will share in ten percent ownership as part of a limited partnership; with Rivertsone-AMCI retaining the majority 90 percent share of the terminal.

The Federal government estimates that the sale will provide for an estimated gain of $100 million dollars for the federal treasury from its divestment of Ridley Terminals.

Riverstone is a global investment corporation with offices in a number of financial capitals, AMCI is based in Connecticut  and is a specialist investment group with strong holdings in mining particularly in Australia.

The sale which was arranged through the Canada Development Investment Corporation, will be considered final, following a successful review by the Competition Bureau and other customary closing conditions.

The sale comes following an extended period of consideration, with the Federal government having put the Terminal up for sale in November 2018, expanding on the process in November of 2018.

At the time, NDP MP Nathan Cullen had expressed some concerns about the rushed timeline and the prospect of the sale of one of the major industrial footprints on the North Coast.

MP Nathan Cullen takes the Ridley Terminal Sale issue to Question Period
Ridley Terminals Sale Notice has MP Nathan Cullen calling for more details on government's "rushed timeline"
Frustrated Cullen calls out Federal Government on Proposed Ridley Sale

The topic was also of some interest for Prince Rupert City Council which had forwarded a letter to the Federal Government noting its desire to see the Terminal remain in local hands.

The sale announcement of today comes in the dog days of the 2019 summer and with the House of Commons adjourned until the fall.

RTI primarily exports coal and petroleum coke, earlier this year it added liquid petroleum Gas to the list of terminal activities with the opening of the Ridley Island Propane Export Terminal.

The full announcement of today's sale can be viewed here.

More notes related to Ridley Terminals can be reviewed from our archive page.

To return to the most recent blog posting of the day, click here.