While media focuses on Keystone XL, Canadian energy companies make a killing in Latin America

By Dawn Paley / The Dominion

The hard fought battle against the Keystone XL pipeline, which was slated to carry tar sands crude across Canada and the United States to port in Texas, kicked struggles against Canadian-owned oil and gas companies up to a new level. Resistance dominated headlines in Canada, while rural folk, Indigenous people, celebrities, and climate activists in the US took direct action to block Calgary-based TransCanada’s plans. In northern BC, Indigenous-led resistance to the proposed Enbridge pipeline, along with a host of other US-owned infrastructure projects, have become front and centre issues for environmentalists and activists across Canada.

The role of Canadian oil, gas and pipeline companies in other parts of the world is, however, less discussed. Many activists have focused on the behavior of the Canadian mining sector, a natural choice given the size of that sector compared to the oil and gas industries in Canada. “In Canada, a major difference between the oil and gas and mining sectors is that while many of Canada’s largest companies are oil and gas producers, some with integrated operations, they are not particularly prominent in the global arena just now,” reads a 2008 report by the Economic Commission on Latin America.

It’s been four years since that report was released, and it might be time to revisit the idea that the Canadian oil and gas sector hasn’t gained prominence on a global scale. Take the case of Latin America, where a host of oil and gas companies based in Calgary and Toronto have been increasing their holdings throughout the hemisphere, taking advantage of the same lax legal standards Canadian mining companies enjoy.

A study by Blake, Cassels & Graydon LLP found that in 2010, Canadian oil and gas companies made over $35 billion in mergers and acquisitions in Central and Latin America, and the region is the second most attractive place (after the United States) for Canadian oil companies to invest outside of Canada. Colombia in particular has quickly become a favourite destination for this new surge of Canadian oil and gas investment.

At the same time as the Canadian Senate approved a free trade agreement between Canada and Colombia in June of 2010, a government-hosted bidding fair on oil and gas properties was taking place in Cartagena, Colombia. “I have some good news for our Canadian friends. The Senate has just approved a free trade agreement…so that opens the way for a lot of opportunities and our government is very happy about that,” said then-Colombian Energy and Mining Minister Hernan Martinez to corporate representatives bidding on oil and gas concessions in Cartagena that day.

Canadian oil companies were among the chief supporters of the agreement, which was roundly criticized because of the continued killings, kidnapping and displacement of Indigenous people, trade unionists, peasants, dissenters and the poor in Colombia. A free trade agreement with Peru was approved by the Canadian Senate a little later, on the heels of a massacre in the Amazon province of Bagua where an estimated 100 people were killed during protests in defense of their lands.

Pacific Rubiales and Talisman, two of the most important Canadian oil companies in Colombia, have already come under intense criticism linked to the high environmental and social cost of their operations.

Read more from The Dominion: http://www.dominionpaper.ca/articles/4439

Resident-funded fracking test finds flowback emissions contain dangerous toxins

By Earthworks

Today Colleyville and Southlake residents, and Earthworks’ Oil & Gas Accountability Project released results from local residents’ privately-funded air testing of Titan Operations’ “mini-frack” on the border of both communities. The tests, performed by GD Air Testing Inc. of Richardson, TX, prove emissions released during fracking and flowback contain dangerous levels of toxic chemicals.

“We paid for tests because we can’t depend on the city or the fracking industry,” said Colleyville resident Kim Davis.  She continued, “The tests confirmed our worst fears, while Colleyville ignored their own tests to let fracking continue. Apparently the city represents Titan and the gas industry instead of local residents.”

Colleyville City ordinances expressly prohibit the release of any gases: “No person shall allow, cause or permit gases to be vented into the atmosphere or to be burned by open flame.”

The community-funded test results, which detected twenty-six chemicals, also showed carbon disulfide, a neurotoxin at twice the state level for short-term exposure. Benzene, a known carcinogen, and Naphthalene, a suspected carcinogen, were both over state long-term exposure levels by more than 9 times and more than 7 times, respectively. Carbonyl sulfide, dimethyl disulfide and Pyridine were all detected above safe limits for long-term exposure.

Gordon Aalund, an MD with toxicology training who lives in Southlake and practices emergency medicine said, “Exceeding long and short term exposure limits to these toxics places us all at increased and unneeded risk.” He went on to say, “When your government fails to protect you and the company cannot be trusted, private citizens are forced to act.”

The Colleyville results indirectly confirm the suspicions of Arlington-area residents about air pollution from ongoing Chesapeake Energy fracking and flowback operations in their neighborhood since December 2011.  Residents who experienced health impacts were told by Chesapeake that flowback emissions were only “steam”.  When challenged to substantiate its claims with public testing, the company failed to respond.

“It’s great that concerned citizens in the Colleyville-area have the wherewithal to pay for their own testing when government fails to do its job. But I live in southeast Arlington, where our community doesn’t have the resources to do government’s job for it,” said Arlington resident Chuck Harper.  He continued, “Why isn’t TCEQ doing these tests? If the watchdog isn’t watching, who do we turn to for protection?”

“It’s state and local failures like these that make plain the need to close fracking loopholes in federal environmental laws,” said Earthworks’ Oil & Gas Accountability Project organizer Sharon Wilson.  She continued, “When TCEQ can’t be bothered to protect their own citizens, when cities ignore their own laws, when companies lie to communities left, right and center, there’s nowhere else to turn.”

From Earthworks: http://www.earthworksaction.org/media/detail/independent_test_results_show_fracking_flowback_emissions_are_dangerous_tox#When:13:16:19Z

Water companies joining forces with natural gas industry to promote fracking

By Sarah Paulus / American Independent News Network

Two of the country’s largest private water utility companies are participants in a massive lobbying effort to expand controversial shale gas drilling — a heavy industrial activity that promises to enrich the water companies but may also put drinking water resources at risk.

The situation — which some watchdogs describe as a troubling conflict of interest — underscores the complex issues raised by the nationwide push to privatize infrastructure and services like water, prisons, and roads.

The water companies — American Water and Aqua America — are leading drinking water suppliers in Pennsylvania, where drilling is booming. They also sell water to gas companies — which use a drilling technique that requires massive amounts of water — and have expressed interest in treating drilling wastewater, a potentially lucrative opportunity.

These investor-owned, publicly traded water utility companies are also dues-paying “associate members” of the gas industry’s powerful Marcellus Shale Coalition, a fact confirmed by coalition spokesman Travis Windle, who says associate members pay $15,000 annually in dues. “Our associate members are really the backbone of the industry,” adds Windle.

Both water companies serve millions of people across the country — Aqua America operates in 11 states and American Water in more than 30.

The coalition, which is led by major gas producers, contends that “responsible development of natural gas” will bolster the region’s economy while providing an important source of domestic energy. It has reported over $2 million in Pennsylvania lobbying expenditures since 2010.

Aqua America joined the coalition in 2010 and Pennsylvania American Water — a subsidiary of American Water — joined in 2011, according to the coalition’s quarterly magazine, which publishes a full member list in each issue.

Shale gas drillers use a combination of horizontal drilling and hydraulic fracturing, or “fracking,” to extract gas from the Marcellus formation in Pennsylvania. The controversial technique forces millions of gallons of water — mixed with sand and chemicals — into the ground to crack the shale rock and release gas. In addition to the potential risks posed by actual fracturing, the process produces large amounts of toxic wastewater that can be difficult to dispose of safely.

The Environmental Protection Agency is currently conducting a congressionally-mandated study “to investigate the potential adverse impact that hydraulic fracturing may have on water quality and public health.” Pennsylvania is home to three of the seven sites selected for the nationwide study.

Read more from AlterNet: http://www.alternet.org/water/155065/shocking_conflict_of_interest%3A_private_water_companies_partner_with_fracking_lobby/

Greedy mining corporations seeking okay to destroy pristine Peel River watershed in the Yukon

By Paul Watson / The Toronto Star

A mining boom that has turned Canada’s North into the country’s fastest growing economy is threatening a vast stretch of the Yukon that is one of the continent’s last unspoiled wildernesses.

Central Yukon’s Peel River watershed, a pristine region almost as big as New Brunswick, is just one of the natural treasures coveted by mining and oil and natural gas companies riding surging global commodity prices.

Demand for the mineral resources of the Yukon, the Northwest Territories and Nunavut is so strong, the Conference Board of Canada expects their economies to grow by an average 7 per cent in 2012 and 2013, “easily outpacing the Canadian average.”

The hunger for resources from rapidly developing countries such as China and India are combining with a warming climate and new technology to draw mining, oil and natural gas companies farther north.

That trend isn’t going to be short-lived, predicts the Conference Board, a privately funded economic and policy research agency.

“Over the past two years, new mines have reached the production stage in both territories, and more are scheduled to start up over the next decade. From 2012 to 2025, mining’s share of the Yukon and Nunavut economies will double.”

After decades of struggling to thrive, the territories’ governments, and many of their people, are eager to cash in on the resource bonanza.

But opponents insist the environment is too fragile, and the economic benefits too limited, to justify the inevitable damage to nature.

A major front line in their escalating battle over Canada’s North is the Peel watershed, a rare North American gem, most of which aboriginal leaders and conservationists are determined to keep away from miners and drillers.

The Peel watershed is drained by seven major rivers that run untamed through mountain ranges and lush valleys where nature has been left largely to her own since the dawn of time.

For some 67,000 stunning square kilometres, there are no parks or marked trails, no campgrounds or RV hookups, only isolated hunting camps, and the wild plants and animals that live in one of Canada’s most diverse ecosystems.

Human visitors number only in the hundreds each year, mainly paddlers and hunters who venture into the remote region in canoes or on horseback and float planes.

The region is rich in iron ore, gold, uranium, zinc and other minerals as well as oil and natural gas.

Mining companies have several camps on the edge of the watershed, waiting for the green light from the Yukon’s government to rush in, clear roads and start digging.

Last summer, a six-member planning commission appointed by the government and First Nations, proposed a compromise that would permanently protect only 55 per cent of the Peel watershed.

Another 25 per cent would be conserved, with periodic reviews to decide if it should be opened up to development. Various land uses, including mining, would be allowed in the remaining 20 per cent.

It was less than what First Nations and conservationists had fought for, but they accepted the compromise. The Yukon government reserved judgment as it went into an election last fall.

In February, the Yukon’s new premier, Darrell Pasloski, a former Conservative Party candidate for the federal Parliament, announced what he called eight core principles to guide decisions on how to regulate land use in the Peel.

They include a call for “special protection for key areas,” while pledging to “manage intensity of use” and “respect the importance of all areas of the economy.”

Pasloski’s government also said it would respect private interests and final agreements with First Nations.

Along with conservation groups, leaders of the First Nations accuse the government of dumping the planning commission’s widely supported plan, forged through some seven years of study and often bitter debate.

Pasloski’s promise of more consultations is actually cover for an effort to gut the commission’s compromise, said Karen Baltgailis, executive director of the Yukon Conservation Society.

“They are proposing to completely change the plan and open up the Peel watershed to roads and industrial development,” Baltgailis said from Whitehorse, the federal territory’s capital.

Leaders of the Tr’ondek Hwech’in, Na-Cho Nyak Dun, Vuntut Gwitchin, and the Gwich’in Tribal Council accused the Yukon government of violating the Umbrella Final Agreement, a framework for settling land claims.

Read more from The Toronto Star: http://www.thestar.com/news/canada/article/1162051–hungry-miners-covet-yukon-s-pristine-peel-watershed-wilderness

In 2012, North Sea has been suffering oil and chemical spills more than five days a week

By Karrie Gillett / Press Association

Sixty-nine oil and chemical spills in the North Sea have been reported in three months. Eighteen companies were named in a table published by the Department of Energy and Climate Change. The most recent incident was a gas leak at Total’s Elgin platform on 25 March.

Professor Andrew Watterson, the head of the occupational and environmental health research group at the University of Stirling, accused companies of playing down “the potentially catastrophic consequences” of gas and oil leaks. “These are very worrying figures that cannot be slicked over by government agencies and industry,” he said. He blamed “corporate failures” for polluting the sea, and pointed out that the number of reported chemical leaks had more than doubled since 2005.

Oil & Gas UK, which represents offshore companies, said the leaks were “relatively small” and many of the chemicals “benign”. BP and Shell were among the firms listed, with BP reporting the highest number of incidents at 23. Other companies included EnQuest, British Gas and Nexen.

From The Independent: http://www.independent.co.uk/environment/north-sea-spills-on-the-rise-7627548.html