![]() ![]() Quebec’s vast reserves would, according to submissions made to the provincial legislature by Utica Resources, potentially allow Quebec to replace 19 per cent of the European Union’s natural gas imports from Russia. Nevertheless, the legislation essentially ensures that the 20 per cent of Canada’s natural gas reserves that sit in Quebec will remain stranded at a time when the global demand for gas has never been higher.Įurope is particularly in need, given it intends to drastically reduce its dependence on Russian natural gas in the wake of the invasion of Ukraine by seeking other sources of supply. “The government granted the licences without public consultation or approval, so what has been offered to the resource companies is in line with what they deserve,” he said. “I did not believe that Canada would be a place where this could happen.”īut Pascal Bergeron, a spokesperson for Environnement Vert Plus, an environmental group that championed Bill 21, said that calling the legislation an “expropriation” is a mischaracterization. “If this law is upheld, it is a direct threat to individual property rights, a massive expropriation and a wrong signal to investors around the world,” said Mario Lévesque, chief executive of Utica Resources, which controls 20 per cent of all oil and gas claims in Quebec. Nor does it take into account the value of the holdings themselves, which could be worth hundreds of millions of dollars, perhaps billions. ![]() But the offer does not account for potential revenue losses and falls far short of the $500 million the companies say they have spent exploring for oil and gas over the past 15 years. Quebec has offered $100 million as compensation. Currently, 182 permits are extant, and 62 wells are subject to rehabilitation. Licence holders must permanently close their wells and restore their sites, but the government will only reimburse 75 per cent of the expenses incurred. The legislation both bans future exploration and revokes existing licences. ![]()
0 Comments
Leave a Reply. |
AuthorWrite something about yourself. No need to be fancy, just an overview. ArchivesCategories |