“The Forrest Kerr Project represents an important evolution in AltaGas’ power business as we continue to build long-term contracted generation assets,” said David Cornhill, Chairman and Chief Executive Officer of AltaGas.

The project is to be constructed wholly within Tahltan Nation traditional territory and is estimated to cost a total of approximately $700M. It is expected to come into service in 2014 and will deliver electricity to the terminus point of the previously announced 287kV Northwest Transmission Line (NTL), near Bob Quinn, BC. The British Columbia Transmission Corporation is developing the NTL.

The Forrest Kerr Project will channel a portion of the Iskut River flow through a tunnel to an underground powerhouse, where it will pass through the project’s turbines before it is returned to the river. The project was issued an environment assessment certificate in March 2010. Site development activities are currently underway and AltaGas anticipates initiating construction immediately.

“This project represents an exciting partnership for AltaGas with the Tahltan Nation and with the Government of British Columbia,” added Cornhill. “The Forrest Kerr Project will be a significant renewable energy asset, and is supported by 40 years of hydrology data and analysis.”

AltaGas and the Tahltan Nation have established a strong working relationship that will see the people of the Tahltan Nation having employment and business opportunities and economic participation in the Forrest Kerr Project.