A rift within the ranks of British Columbia First Nations appears to have widened as the two sides clash over plans by Enbridge and Kinder Morgan to develop pipeline and tanker projects to deliver oil sands crude from Alberta to Asia Pacific markets.
The conflicting positions became even more entrenched on Dec. 1 and 2 as a coalition of 61 First Nations leaders vowed to establish a human “wall” of opposition to the projects, stretching from the southern Canada-U.S. border to the Arctic Ocean, followed a day later by announcement of a tentative deal that hereditary chiefs of the Gitxsan in northwestern British Columbia had accepted Enbridge’s offer of an equity stake in the C$5.5 billion Northern Gateway project.
In the midst of these competing claims, Enbridge Executive Vice President Janet Holder told a conference call that “a number” of the 50 First Nations that have entered discussions on the 10 percent equity offer have signed agreements in support of Northern Gateway.
“Based on our current negotiations we do believe that we have support from the majority of First Nations along our right of way,” she said, but declined to provide a number of identify the communities.
Holder said that without “solid support” from the First Nations it will be difficult for Northern Gateway to proceed, but added that approval of the project will depend on the regulatory process which is scheduled to embark on public hearings in January.
Complexity of positions
The complexity of the Native positions became apparent as Gitxsan Chief Elmer Derrick explained the nature of the agreement with Enbridge.
He said the deal covered 1/40th of the 10 percent stake which the Gitxsan would acquire through an Enbridge loan at “favorable rates,” and expected to receive at least C$7 million in net profit over the life of the project.
But he conceded that the Gitxsan chiefs, who have title to their land and resources under a Supreme Court of Canada ruling, must still obtain the approval of their five tribal councils and 13,000 residents in the Gitxsan region, which covers about 12,700 square miles.
Derrick also said the Northern Gateway pipeline does not cross Gitxsan territory, but does cross six streams that drain into a lake, which is a source of salmon that is vital to the Gitxsan.
“Let me stress that all decisions we make in pursuing business on Gitxsan land remain faithful to the laws of our people,” he said.
Derrick said he was confident there would be no negative repercussions from the Enbridge agreement, adding “we have always been frank with our opinions on different projects.”
However, one of his fellow chiefs, Norman Stephens, said the agreement “was done by the few, not by the many.”
He said C$7 million is a “very small amount of cash when you look at the damage that could be done, not just to the Gitxsan, but to all other nations.”
Meanwhile, Enbridge faced the sternest opposition yet from First Nations when the Yinka Dene Alliance claimed that along with its plans for an “unbroken wall of opposition” more than 130 First Nations in Western Canada are ready to fight Northern Gateway — designed to ship 525,000 barrels per day of crude to the Asia-Pacific region and import 193,000 bpd of condensate.
“I’m going to stand in front of bulldozers to stop this project and I expect my neighbors to join me,” said Jackie Thomas, chief of the Saik’uz First Nation, part of the Alliance, when asked what would happen if regulators approve Northern Gateway.
“North or south. It makes no difference. First Nations from every corner of B.C. are saying absolutely no tar sands pipelines or tankers in our territories,” she said.
“We have banned oil pipelines and tankers using our laws and we will defend our decision using all the means at our disposal.”
The communities signed a “Save the Fraser Declaration” opposing pipelines and tankers they believe pose an unacceptable threat to wildlife, land, water courses and the ocean.
The campaign is also aimed at Kinder Morgan’s proposal to add 80,000 bpd-400,000 bpd to its existing 300,000 bpd Trans Mountain pipeline from Alberta to Port Metro Vancouver and Washington state.
Blow to new market desires
It shapes up as a blow to the desires of Canada’s petroleum producers and the Canadian government to find markets beyond the United States.
In the wake of delays by the Obama administration in approving TransCanada’s Keystone XL pipeline to the Texas Gulf Coast, Prime Minister Stephen Harper and senior cabinet ministers say crude exports outside North America are vital their hopes of turning Canada into an energy superpower.
An Enbridge spokesman said a ban would have “serious implications for the entire province of British Columbia,” but said further deals on the equity offer are imminent and added that Native communities along the pipeline right of way stand to derive C$1 billion worth of economic benefits.
A spokesman for Kinder Morgan said an expansion of Trans Mountain will involve thorough consultation and review, including an open invitation to First Nations along the pipeline route and near the company’s facilities to participate in discussions about the plans.
A Port Metro Vancouver spokesman said tankers have operated “safely and successfully” since 1953,with 71 passing through the port last year.
—Gary Park
