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Pipeline proposal switch

Inuvik Native Band wants full ownership of a natural gas pipeline

Thorunn Howatt
Northern News Services

Inuvik (June 17/02) - Inuvik's Nihtat Gwich'in Council wants its support withdrawn from the Aboriginal Pipeline Group's memorandum of understanding.

Last March, Chief James Firth of the Inuvik Native Band moved support behind a different pipeline proposal. Now he has written a letter to Nellie Cournoyea, chair of the Aboriginal Pipeline Group (APG), explaining the move toward ArctiGas Resources Corp. Firth's band met with the Aboriginal Pipeline Group last Wednesday morning.

"My initials are on the MOU," said Firth adding people are questioning his support for ArctiGas when he still has initials on the APG document.

The APG wants one-third ownership of a proposed $3 billion pipeline carrying Mackenzie Delta natural gas southward following the Mackenzie Valley.

"This is a formal way of letting them know we are pursuing the other (ARC) proposal."

ArctiGas/ARC proposes 100 per cent aboriginal ownership of a pipeline that would carry Alaskan natural gas underwater through the Beaufort Sea to Inuvik and then to Alberta following the Mackenzie Valley. The project is expected to cost close to $10 billion.

Along with 100 per cent ownership comes 100 per cent risk on the investment, environmental liability and, ultimately, removal of the line. And the ArctiGas proposal does not have the support of gas producers in the Delta. But Firth has been comparing the two options closely, meeting with ArctiGas since December.

"We have about 30 miles of real estate that they have to put the pipeline through so we are just making sure we get the benefits," said Firth.