Saving Seafood

ALASKA: Pebble’s owner reports growing deficit and doubts about its future. Again.

December 6, 2019 — The company trying to develop the Pebble Mine is going to need a lot more money to keep up the pace.

Northern Dynasty, based in Vancouver, B.C., is the parent company of the Pebble Partnership. It reports losing about $40 million (CA$53 million) in the first nine months of the year.

Its deficit now exceeds $400 million. If the company can’t raise the money to pay its debts when they come due, it may have to “reduce or curtail” its operations “at some point,” the report says.

“As such, there is material uncertainty that raises substantial doubt about the Group’s (Pebble and its parent company’s) ability to continue as a going concern,” the report says.

Northern Dynasty has included nearly identical statements in previous quarterly reports.

Pebble spokesman Mike Heatwole said in an email that Pebble continues to look for a partner and is confident in its ability to continue advancing the project.

This and previous financial statements tell a story that’s much darker than the rosy image Pebble projects in its ad campaign, said Daniel Cheyette, a vice president of Bristol Bay Native Corporation.

Read the full story at Alaska Public Media

Massive Alaska cod merger is all lined up

September 20, 2019 — Alaska’s Bristol Bay Native Corp. is set to take over a large chunk of the state’s freezer longline Pacific cod quota with the pending purchase of a newly merged Clipper Seafoods and Blue North Fisheries.

Last week, the Department of Justice approved the merger, and the corporation is expected finalize on Sept. 30 the purchase of a majority share of the new company.

“It’s exciting for us. When the opportunity presented itself about a year ago, we had already been looking for seafood investments for a couple of years. Having an opportunity to acquire these businesses and what they represent is a big deal for BBNC,” said Jason Metrokin, the president and CEO of Bristol Bay Native Corp.

The DOJ reviewed the merger to ensure it would not create a monopoly in Alaska’s freezer-longline Pacific cod fishery. The two processors control 37.4 percent of the total allowable catch in the fishery, with Clipper managing 20 percent of the harvest, and Blue North handling 17.4 percent.

Read the full story at National Fisherman

Bristol Bay Native Corporation acquiring Blue North and Clipper

September 17, 2019 — Bristol Bay Native Corporation (BBNC) is planning to acquire Blue North Fisheries and Clipper Seafoods, making it a major player in the Bering Sea longline cod fishery. The acquisition also gets BBNC, former owner of Peter Pan Seafoods, back into the industry.

The acquisition will close on 30 September, and Blue North and Clipper Seafoods will be organized under Bristol Bay Alaska Seafoods, a newly-formed subsidiary of BBNC.

Read the full story at Seafood Source

Analysis: Alaska’s Native corporations, once shy of seafood, may now view it as the next frontier

September 13, 2019 — Most seafood industry members have likely never heard of Alaska’s Native Corporations, but with the news this week that Bristol Bay Native Corporation (BBNC) was cleared by the US Department of Justice to acquire and merge Pacific cod giants Blue North Fisheries and Clipper Seafoods, most people will know about them soon enough.

The deal, which is expected to close as early as next week, a source familiar with the process told IntraFish, would create a group with roughly 33,000 metric tons of owned Pacific cod quota, another 13,000 metric tons for management or lease, and $95 million in revenues.

Alaska’s Native Corporations have plenty of assets, and are much, much bigger than you might expect. Alaska’s 12 Native Corporations, created under a federal law in 1971 called the Alaska Native Claims Settlement Act, employ 58,000 people worldwide, according to the Alaska Resource Development Council. They are the state’s largest landowners, and combined corporate revenues for the companies is estimated at over $8 billion.

Read the full story at IntraFish

DOJ green lights Clipper, Blue North merger

September 12, 2019 — The US Department of Justice (DOJ) has greenlit a proposed merger between the two largest Pacific cod longline companies, sources told Undercurrent News.

The DOJ review of the merger of Clipper Seafoods and Blue North, which is expected to include the Bristol Bay Native Corporation (BBNC) taking a majority stake in the combined company, was undertaken to ensure that the combined company wouldn’t create a monopoly. Sources told Undercurrent that the DOJ’s seal of approval means that the deal is likely to close this week.

Despite the combined company’s heft in the market, Clipper and Blue North argued that there are several factors that go into cod prices, like other species, “so there shouldn’t be any antitrust problems”, sources previously told Undercurrent.

Read the full story at Undercurrent News

Alaskan native group still set to buy US Pacific cod catchers if DOJ approves merger

August 1, 2019 — The merger of the two largest US Pacific cod longline catching companies is under review by the US Department of Justice (DOJ), sources familiar with the deal told Undercurrent News.

If the DOJ approves the merger, the combined company will be renamed Blue North Clipper (BNC) and then, around 30 days later, acquired by the Bristol Bay Native Corporation (BBNC), the sources said. BBNC is set to take 75% of BNC, with the existing shareholders of both companies owning the rest.

It’s thought BNC will be relocated to the offices of Clipper, which is seen as being the driver of the deal, they said. It’s also thought Dave Little, the main shareholder in Clipper, will ultimately head up the combined company. Patrick and Michael Burns, the brothers who founded Blue North, will also remain involved, sources said.

Read the full story at Undercurrent News

Fight renewed over Pebble Mine in Bristol Bay, Alaska

April 5, 2019 — Opposition is growing to a renewed effort to launch a massive mining project near Bristol Bay, Alaska, home to the world’s largest sockeye salmon run.

Mining conglomerate Pebble Limited Partnership applied for a permit in December 2017 for an open pit copper, gold, and molybdenum mine that would sit near critical headwaters that feed the Bristol Bay fishery. Opponents say the Pebble Mine would undermine the area’s pristine habitat – a calling card of the Bristol Bay brand – and that a tailings dam failure could prove catastrophic to the fishery. The most recent public opinion poll by the BBNC shows 58 percent of Alaskans oppose the mine, with 33 percent supporting it.

The U.S. Army Corps of Engineers released a Draft Environmental Impact Statement (EIS) on 20 February, 2019, but the wide-ranging opposition in Alaska and beyond has lambasted the document.

“People around here understand on a very visceral level the importance of fisheries in general and Bristol Bay in particular. Commercial fishermen, sport fishermen, tribal entities that are interested in subsistence, biologists; we’re not always aligned, but we’re certainly aligned on this particular issue,” said Daniel Cheyenne, the vice president of lands and natural resources for the Bristol Bay Native Corporation (BBNC).

Norm Van Vactor, the CEO of the Bristol Bay Economic Development Corporation, said the EIS is incomplete.

Read the full story at Seafood Source