The Prince Rupert Port Authority has given the green light to construction of a pellet export terminal on the city's waterfront, despite objections from nearby residents.

In a news release Friday, the port says its assessment has concluded the project is unlikely to have a significant environmental effect.  And Public Affairs Director Ken Veldman says the authority believes it can strike a balance between this economic opportunity and livability for Prince Rupert residents, noting planned improvements to public access to the waterfront.

Pinnacle Pellet will be required to monitor dust and noise from its operation and take action it they exceed regulatory standards. In the case of noise, that could include a shutdown.

Last December, a local resident gathered 150 names on a petition opposing the location of the proposed pellet terminal.

The port authority says the terminal represents a $42-million capital investment, will add to the municipal tax base and create up to 24 permanent direct jobs.

Pinnacle will be able to export up to two-million tonnes of wood pellets a year from the terminal. The company operates pellet manufacturing plants in six communities, including Houston and Burns Lake.