Calgary

Trans Mountain IPO to proceed despite B.C. Green-NDP deal

The initial public offering aims to raise $1.75 billion to help fund the $7.4-billion Trans Mountain expansion, even as developments in B.C. provincial politics could cast the project's future into doubt.

Both parties intending to form minority government oppose Kinder Morgan's pipeline expansion

Kinder Morgan announced Thursday its final investment decision on the Trans Mountain expansion, which is conditional on the successful completion of the IPO. (Erin Collins/CBC)

Kinder Morgan says it expects to proceed Tuesday with its initial public offering for the Trans Mountain expansion, just as the anti-pipeline Greens and NDP in B.C. announced they have come to an agreement that could cast the project's future into doubt.

Dave Conover, a spokesman for the Houston-based energy company, said in an email that the IPO will go ahead on the Toronto Stock Exchange.

Conover's confirmation came shortly after the leaders of the B.C. Greens and NDP said they came to a deal that could see the formation of a minority NDP government in the province.

NDP Leader John Horgan and Green Party Leader Andrew Weaver shake hands on May 29, 2017 after announcing an agreement for the Greens to support the NDP in the B.C. Legislature for the next four years. (Mike McArthur/CBC)

Both parties have voiced their opposition to the Trans Mountain expansion, which would see the capacity of a pipeline running from Edmonton to Burnaby, B.C., nearly triple its capacity to 890,000 barrels of oil per day.

Deputy Premier Sarah Hoffman said Monday that Alberta will keep pushing for the Trans Mountain pipeline expansion despite the new deal in B.C.

"As far as I'm concerned, the federal government has the authority to approve pipelines. They've made that decision and our pipeline is moving forward," she said.

The IPO is intended to raise $1.75 billion to help fund the $7.4-billion Trans Mountain expansion.

The offering would be the largest on the Toronto Stock Exchange since Hydro One's $1.83-billion listing in 2015, with only insurers Sun Life Financial and Manulife Financial having bigger debuts.