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February 2010

Vol. 15, No. 9 Week of February 21, 2010

B.C.-Montana reach ‘peace in our time’

Gary Park

For Petroleum News

In the ancient Olympic Games it was the Greek tradition to lay down arms for the duration of the event.

Three days before the Vancouver Winter Olympics got under way, the British Columbia government offered its own olive branch to Montana.

In a speech to open a new session of the legislature, B.C. promised to impose a ban on oil and gas development, coalbed gas extraction and mining in the Flathead River basin that extends over the international boundary into the United States.

It was the clearest gesture yet of a peaceful end to an often contentious debate between B.C. and Montana that edged close to a showdown two years ago.

But B.C. Premier Gordon Campbell and Montana Gov. Brian Schweitzer have established a strong personal relationship in recent times that a B.C. government spokesman said has led to “far broader issues of cooperation.”

The legislative speech said a “new partnership with Montana will sustain the environmental values in the Flathead River basin in a manner consistent with current forestry, recreation, guide outfitting and trapping uses.”

It said B.C. and Montana are already working on a formal agreement to “identify permissible land uses and establish new collaborative approaches to transboundary issues.”

Promise for federal lands

Montana’s Democratic U.S. Senators, Max Baucus and Jon Tester, wasted no time pledging to take the same action on Montana’s federal lands.

Baucus said “we need to show the Canadians we’re working in good faith on our side of the border, as well.”

“Canadians and Americans — especially Montanans — are forever linked by the beautiful Flathead Valley. We must step up and protect this gem — and our outdoor heritage — for future generations, no matter which side of the border we live on,” he said.

Tester said Canada has “stepped up to be a good neighbor and now we’ll do our part to safeguard this area.”

Baucus said a few existing, though dormant, mineral leases in Montana will be swapped or bought out.

Pending actual legislation in B.C., it is assumed the province will move in a similar direction, with Max Resource, which has been exploring for gold in the region, insisting it will seek “adequate compensation.”

John Bergenske, executive director of the Canadian conservation group Wildsight, applauded the B.C. government, while cautioning that any future government could overturn the bans.

“But in reality this is a done deal,” he said. “I don’t have any reason to believe that this is not a permanent solution.”

The move to a peaceful solution gathered pace when BP Canada Energy and Cline Mining advanced their plans for coalbed methane and coal development, respectively, although BP backed away from exploring its 80,000 acres and possibly launching a C$3 billion capital investment as the cross-border controversy started to boil over.






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