B.C. Ghost Town Owner Revives Energy Export Plans
Krishnan Suthanthiran, a U.S.-based entrepreneur originally from India, is revitalizing plans for Kitsault, British Columbia. Once a mining town, Kitsault has remained largely deserted since it closed in 1983 after a molybdenum mine nearby failed. Suthanthiran purchased the town for approximately $7 million, with ambitions ranging from an eco-resort to energy export innovations.
Kitsault’s Past and Present
Located about 140 kilometers northeast of Prince Rupert, Kitsault once housed 1,200 residents during its mining heyday. The mine, operated by Amax Canada Development Ltd., opened in 1981, but market fluctuations led to its closure just two years later. Consequently, the town has been preserved in a 1980s time capsule, featuring 92 homes, a hospital, and various community facilities.
Despite its rich infrastructure, Kitsault has not attracted significant interest over the years. Suthanthiran maintains the town at an annual cost of $2 million, primarily to keep its facilities intact for potential future endeavors.
New Energy Export Plans
Suthanthiran’s focus has shifted toward energy with a proposal to develop an export terminal near Kitsault. His plans include:
- Constructing two pipelines—from Alberta to Kitsault—one for natural gas and another for crude oil.
- Establishing a marine terminal to facilitate exports across the Pacific.
- Manufacturing liquid butanol, a versatile chemical derived from natural gas.
In discussions with Alberta energy officials, Suthanthiran expressed optimism that current geopolitical conditions are favorable for Canadian energy exports beyond the U.S. market. This includes growing demand in Asia, notably amid political shifts in Venezuela.
Technical Viability
Experts agree that the geographic and infrastructural advantages of Kitsault could expedite development. Barry Prentice, a business professor, noted that the waters are navigable and have sheltered conditions, presenting an advantageous site for energy export operations.
However, Heather Exner-Pirot from the Macdonald Laurier Institute emphasized that other ports like Prince Rupert and Kitimat may present clearer advantages due to existing capacity and support from local Indigenous nations.
Future of Kitsault
Suthanthiran believes conditions are optimal for his vision of Kitsault to thrive. Recent trade tensions with the U.S. and rising prices have elevated interest in diversifying Canadian energy exports. The provincial government has committed resources to facilitate new pipeline projects, further underscoring the momentum for energy development in the region.
If interest continues to grow, Suthanthiran is open to selling Kitsault to a prospective stakeholder who could execute his vision effectively. He emphasized that his goal is not necessarily ownership but rather revitalizing the town’s economic potential.
As the Canadian energy landscape evolves, all eyes will be on Suthanthiran’s next moves in reviving this ghost town as a hub for energy export.
