tar sands

Fri, 2012-12-07 17:21Carol Linnitt
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Harper Government Approves Foreign Acquisition of Nexen, Progress Energy, Affirms FIPA Concerns

Today Prime Minister Stephen Harper announced the approval of two major acquisitions of Canadian energy companies by foreign state-owned enterprises. The Chinese National Offshore Oil Company (CNOOC) will commence the $15.1 billion takeover of Nexen Inc., a Canadian company with major holdings in the Alberta tar sands. Malaysia's Petronas will proceed with the purchase of Progress Energy Resources Corp., a Calgary company with considerable shale gas plays in British Columbia, for $5.2 billion. Petronas has plans to construct an $11 billion liquified natural gas plant in Prince Rupert to prepare gas exports for Asia. 

Prime Minister Harper announced the takeovers, which are steeped in controversy, in tandem with new takeover guidelines intended to address growing concerns of foreign ownership of Canada's resources by energy-hungry nations. He remained silent on the significance of the approval for FIPA, the Foreign Investment Protection and Promotion Agreement, also known as the China-Canada Investment Treaty.
 
“Canadians generally and investors specifically should understand that these decisions are not the beginning of a trend but rather the end of a trend,” said Mr. Harper. The full meaning of that statement, however, remains to be seen. The Harper government's decision to ratify FIPA may mean deals done with China, like today's deal with CNOOC, will carry a new significance.
 
The government previously raised the threshold for official review of foreign takeovers from $330 million to $1 billion, signaling open arms to potential foreign investors with an eye on mega projects like the Alberta tar sands. However, today that threshold was returned to $330 million for state-owned enterprises.
 
“To be blunt, Canadians have not spent years reducing ownership of sectors of the economy by our own governments only to see them bought and controlled by foreign governments instead,” Mr. Harper said
Tue, 2012-12-04 17:46Carol Linnitt
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"Big Oil's Oily Grasp": Polaris Institute Documents Harper Government Entanglement with Tar Sands Lobby

Oil industry lobbyists in Canada have taken the country by the reins. At least, that's the implication of the Polaris Institute's new report released today. The report, “Big Oil's Oily Grasp - The Making of Canada as a Petro-State and How Oil Money is Corrupting Canadian Politics,” (pdf) documents 2,733 meetings held between the oil industry and federal government officials since 2008. That figure outstrips meetings with environmental organizations by a whopping 463 percent. 

“Canada's increasing dependence on the export of bitumen to the United States has, in effect, served to redefine this nation in the form of a petro-state,” the report opens. Lobbying activities in Ottawa may help explain why “the Canadian government has increasingly watered down or withdrawn its role and responsibilities to regulate the economic, environmental and social impacts of the tar sands industry.”
 
The report highlights the spike in lobbying activities - of six major Big Oil players including Enbridge and TransCanada - in the period between September 2011 and September 2012, right when the industry-friendly omnibus budget Bill C-38 made its infamous debut. In that same period of time, the federal government met once with Greenpeace. 
 
Since 2008, oil and gas industry groups held meetings with officials 367 percent more than the two major automotive associations in Canada, and 78 percent more than the top two mining associations. 
 
“The amount of face time the oil industry gets in Ottawa in personal meetings and other correspondence greatly exceeds the time afforded other major industries in Canada,” says the report's co-author Daniel Cayley-Daoust. “No one doubts the hold the oil industry has on this current government, but it is important Canadians are aware that such a high rater of lobbying to federal ministers has strong policy implications.”
 
Tue, 2012-12-04 12:51Carol Linnitt
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Canadian Youth Delegation: Tar Sands Creating "Commitment Issues" for Canada at COP18

Canada's leadership is failing to uphold international commitments to reduce the country's emissions under the United Nations Framework Convention on Climate Change (UNFCCC). This failure on the global stage is the direct result of Canada's domestic policies, according to the Canadian Youth Delegation to COP18's recent report “Commitment Issues.”  

Canada's determination to develop Alberta's tar sands constitutes the nation's primary obstacle to progress on climate action. Bitumen extraction in the region “invalidates Canada's commitment to limit global warming to 2 degrees celsius since pre-industrial times and sets a dangerous global precedent for extreme extraction,” the report states.
 
The Canadian government has participated in several significant international agreements and treaties aimed at reducing global levels of greenhouse gas emissions. Yet, given the country's aggressive oil and gas development, these agreements only serve to highlight Canada's disregard for, rather than participation in, international efforts to prevent dangerous global warming.
Mon, 2012-11-26 14:10Carol Linnitt
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New Enbridge Spill Near Chicago Continues Company's "Pattern of Failures"

Enbridge was forced to shut down one of its pipelines last week after 900 barrels of crude oil leaked at the Mokena tank farm near Chicago. The leak was discovered on Tuesday of last week although its cause remained undisclosed until this morning, when the Mokena fire department cited a hole in a 20-inch pipeline. 

The leak forced the shutdown of Enbridge's Line 14, a pipeline carrying 318,000 barrels of oil per day from Superior, Wisconsin to Mokena, Illinois. 

Enbridge spokesman Graham White told the Chicago Tribune Friday that the spilled 37,000 gallons of crude were “contained within the tank berm,” causing little environmental impact. The U.S. Pipeline and Hazardous Materials Safety Administration (PHMSA) is investigating the accident.

The Mokena spill is yet another incident in a long list of Enbridge operational failures that have severely weakened the company's public standing and professional reputation. 

Thu, 2012-11-22 05:00Carol Linnitt
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Dr. David Schindler: Tar Sands Science "Shoddy," "Must Change"

If you ask an Environment Canada media spokesperson about contamination resulting from tar sands operations, they will not tell you the federal government has failed to adequately monitor the mega-project's effects on water.

They most certainly will not say outright that the federal government has failed to monitor the long term or cumulative environmental effects of the world's largest industrial project. They won't say it, but not because it isn't the case. 

The tar sands are contaminating hundreds of kilometres of land in northern Alberta with cancer-causing contaminants and neurotoxins.

And although federal scientists have confirmed this, they are prevented from sharing information about their research with the media. 

In fact, if a journalist wants to approach a public servant scientist these days, he or she is required to follow the federal ministry's media relations protocol, one which strictly limits the media's access to scientists, sees scientists media trained by communications professionals who coach them on their answers, determine beforehand which questions can be asked or answered, and monitor the interaction to ensure federal employees stay within the preordained parameters.

The result is an overly-monitored process that causes burdensome delays in media-scientist interactions. The overwhelming consequence is that the media has stopped talking to the country's national scientists.
 
But University of Alberta scientist Dr. David Schindler is ready and willing to pick up the slack, especially after Environment Canada federal scientists recently presented findings that vindicated years of Schindler's contentious research exposing the negative effects of tar sands production on local waterways and aquatic species.
 
According to Schindler, the rapid expansion of the tar sands is not based on valid science: “Both background studies and environmental impact assessments have been shoddy, and could not really even be called science. This must change,” he told DeSmog.
Wed, 2012-11-21 05:00Steve Horn
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Second US Tar Sands Mine, Owned by Former ExxonMobil and Chevron Exec., Approved in Utah

MCW Enterprises Ltd., a Canada-based corporation, announced on Nov. 19 that it has received all necessary permits to streamline tar sands extraction at its Asphalt Ridge plant located in Vernal, Utah starting in December.

The announcement comes just weeks after U.S. Oil Sands Company received the first ever green light to extract tar sands south in the United States.

Recently changing its name from MCW Energy, MCW Enterprises Ltd. owns MCW Oil Sands Recovery LLC as a wholly owned subsidiary. The company's CEO, R. Gerald Bailey - often also referred to as Raymond Bailey or Jerry Bailey - is the former President of Exxon Arabian Gulf and also served as an Executive for Texaco (since purchased by Chevron) for 15 years.

MCW's website explains that its stake in the Asphalt Ridge is a “proven/probable resource of over 50+ million barrels of oil” and that it “is seeking other oil sands leases in Utah, which contains over 32 billion barrels of oil within 8 major deposits.” 

Bailey told Flahrety Financial News that he sees this first project as a crucible, or testing grounds, with the potential for more extraction to come down the road. 

“This is really going to be a technology play,” he stated. “I don't plan to build another Exxon out there in the desert.”

Sat, 2012-11-17 12:21Steve Horn
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Former Clinton and Bush Cabinet Members, Now Oil and Gas Lobbyists, Expect Keystone XL Green Light

The Tar Sands Blockade of TransCanada Corporation's “Keystone XL South” continues in Texas, but former members of the Clinton and George W. Bush cabinets believe the northern half will soon be green-lighted by President Barack Obama. 

In a Nov. 13 conference call led by the Consumer Energy Alliance (CEA), an oil and gas industry front group, CEA Counsel John Northington said he believes a “Keystone XL North” rubber stamp is in the works by the Obama Administration. 

I think the Keystone will be approved in fairly short order by the administration,” Northington said on the call.

Northington has worn many hats during his long career:

[He] served in the Clinton Administration at the Department of the Interior as Senior Advisor to the Director of the Bureau of Land Management. Mr. Northington also served as Special Assistant to the Assistant Secretary for Land and Minerals Management with energy policy responsibility for the former Minerals Management Service and the Bureau of Land Management. Mr. Northington began his government service at the Department of Energy, where he served as White House Liaison, Chief of Staff for the Office of Fossil Energy and Senior Advisor for Oil and Natural Gas Policy.

After his tenure working for the Clinton Administration, he walked through the revolving door and became a lobbyist, representing many clients over the past decade, including the oil and gas industry. Northington has represented ExxonMobil, Devon Energy, CONSOL Energy, and Statoil. ExxonMobil, Devon and Statoil all have a major stake in the tar sands. 

Wed, 2012-11-14 21:04Carol Linnitt
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Toxic Tar Sands: Scientists Document Spread of Pollution, Water Contamination, Effects on Fish

Today federal scientists from Environment Canada presented research at an international toxicology conference in the U.S. that indicates contaminants from the Alberta tar sands are polluting the landscape on a scale much larger than previously thought.

A team lead by federal scientist Jane Kirk discovered contaminants in lakes as far as 100 kilometers away from tar sands operations. The federal research confirms and expands upon the hotly contested findings of aquatic scientist David Schindler who, in 2010, found pollution from the tar sands accumulating on the landscape up to 50 kilometers away.

“That means the footprint is four times bigger than we found,” Schindler told Postmedia News.

Senior scientist Derek Muir, who presented some of the findings at Wednesday's conference, said the contaminated region is “potentially larger than we might have anticipated.” The 'legacy' of chemicals in lake sediment gives evidence that tar sands pollution has been traveling long distances for decades. Samples show the build up of polycyclic aromatic hydrocarbons, or PAHs, known to cause cancer in humans and to be toxic to aquatic animals, in 6 remote and undisturbed lakes up to 100 kilometers away from tar sands operations.

The pollutants are “petrogenic” in nature, meaning they are petroleum derived, and have steadily and dramatically increased since the 1970s, showing the contaminant levels “seem to parallel the development of the oilsands industry,” Muir said.

Fri, 2012-11-09 09:01Carol Linnitt
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Heavy is the Head That Wears the Crown: Tar Sands Expansion May Violate Crown's Legal Obligation to First Nations

Today the Athabasca Chipewyan First Nation (ACFN) will argue in the Alberta Court of Appeal that Shell Canada’s proposed Jackpine Mine expansion is in violation of their Constitutional rights and represents a failure on behalf of the federal government to uphold their legal duty to consult (DTC). The First Nation, which originally made this argument in a joint federal/provincial hearing on October 1, was told the panel did not have jurisdiction to hear constitutional questions.

When the ACFN applied for an adjournment, in that case, their request was denied. In response the First Nation is claiming they have “no other option but to file legal arguments for the protection of their constitutionally protected rights through the Alberta Court of Appeal.” 
 
The government’s refusal to consider the ACFN’s best defense against the megaproject, which will increase Shell’s tar sands bitumen mining capacity in this one project alone by 100,000 barrels per day, appears out of step with the federal government’s own admission that they must accommodate the rights of First Nations when considering industrial projects that entail irreversible impacts.
 
First Nations rights, especially as defined in the 1982 Constitution and subsequent court decisions, must be accommodated, according to an internal federal discussion paper, released to Greenpeace Canada’s climate and energy campaigner Keith Stewart through access to information legislation.
Thu, 2012-11-08 13:13Kevin Grandia
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All the Single Ladies! China's Fetish For Canada's Tar Sands

In 2007, when President Obama proposed a carbon tax on imported Canadian tar sands oil, the Canadian oil lobby and the Conservative government threatened to start sending their crude overseas to countries like Russia and China with weaker environmental standards.

A big problem with this plan is that currently there is no way to actually move tar sands oil onto a tanker and ship it overseas. So the threat posed against the United States by Canada's pro-tar sands lobby was, and continues to be, an empty one.

This is why it is so important that we stop any and all ability for tar sands oil to be pumped off our coasts and sent to overseas export markets.

Whether that be via the Northern Gateway pipeline, Kinder Morgan or whatever other creative ways the oil lobby comes up with to diversify the tar sands oil market.

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