Advertisement

Athabasca Chipewyan First Nation to sue Shell Canada over contract dispute

CALGARY – In an unprecedented move, a First Nation has served Shell Canada with papers and is prepared to sue over a contract dispute in the oil sands.

The Athabasca Chipewyan First Nation says Shell has broken faith on an agreement for the development of Shell’s massive oil sands projects.

“At this point in time, we said enough is enough,” says Chief Allan Adam. “We got approval of our elders; we are going to court on this issue.”

John Broadhurst, VP of Heavy Oil with Shell Canada denies the claim.

“We have always tried to work very hard with our aboriginal neighbours to create value, to make sure our opportunities are being developed in a way that is responsible.”

Get daily Canada news delivered to your inbox so you'll never miss the day's top stories.

Get daily National news

Get daily Canada news delivered to your inbox so you'll never miss the day's top stories.
By providing your email address, you have read and agree to Global News' Terms and Conditions and Privacy Policy.

Shell has two projects on Athabasca Chipewyan First Nation land and is looking to expand, but the suit, which is unproven in court, alleges the company blocked money requests, including plans for community environmental monitoring at Fort Chip, located downstream from the oil sands.

Story continues below advertisement

“It goes to show behind the scenes, Shell and other corporations continue to manipulate the system,” says Chief Adam. “This is to notify any other companies out there that refusal to honour their agreements with ACFN, similar actions will be taken against them as well.”

Broadhurst says the issue isn’t that simple.

“If you have a commitment to do a study on an environmental issue for example, then one of the things you actually have to have is what is the proposal for the study – we can’t just give money.”

ACFN is now opposing Shell’s expansion and solidarity has come from as far as Durban, South Africa at the U.N.’s climate change conference as the impact of oil sands development continues to grow on an international stage.

“Shells expansion would basically be doubling all the cars on the road in Alberta today and that’s unacceptable when we are in the midst of a climate crisis,” says Mike Hudema with Greenpeace.

Shell says the expansion plans will continue with public hearings as early as next year.

As for the lawsuit, negotiations will continue – it has 20 days to respond. 

Sponsored content

AdChoices