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Crunch time for Imperial

Derek Neary
Northern News Services

Fort Simpson (Aug 19/05) - Imperial Oil's pipeline benefits package was turned down by NWT aboriginal governments at meetings in Inuvik last week, according to Keyna Norwegian.

"Everybody said no to it, they're not signing it," said Norwegian, chair of the Dehgah Alliance Society, which represents the Deh Cho's pipeline corridor communities.

Richard Nerysoo, chief negotiator for the Gwich'in Tribal Council, said "I would say we weren't happy with a lot of what was offered."

Hart Searle, spokesperson for Imperial Oil, cast the situation in a more positive light.

"In general we thought that the meetings went well," he said. "We have some follow-up work to do. I'd say those matters are unique to each region."

When told of Norwegian's impression of events, Searle replied, "I'm not going to comment on Chief Norwegian's comments."

Searle said he wasn't aware of the exact content of the access and benefits package, but acknowledged that it does include a payment structure for access to the land. It also contains provisions for training, education and business opportunities.

As well, there are benefits to be realized from ownership in the pipeline through the Aboriginal Pipeline Group, he added.

Imperial Oil is expected to make a decision in early September on whether to proceed with regulatory hearings on the $7 billion Mackenzie Valley natural gas pipeline, Searle noted.

"I'd say there is recognition that overcoming these remaining gaps (between Imperial and the aboriginal governments) will require a good deal of effort from all parties," he said. "But all those involved understand there's an urgent need to bring these discussions to closure."

Asked what impact cancelling the pipeline project would have, Norwegian replied it would be much worse news for the Inuvialuit than the Deh Cho because the Inuvialuit have natural gas discoveries waiting to get to market.

She said the Deh Cho remains hopeful that another oil and gas company will take the lead on the pipeline project if Imperial Oil backs away from it.

In July, the federal government announced $500 million in socio-economic funding to be divided among the regions on the pipeline route and disbursed over 10 years. However, that funding is contingent upon the pipeline proceeding.

Three months earlier, Imperial had cancelled engineering work associated with the pipeline, citing too many demands from regulatory bodies and the groups along the pipeline route.

"Clearly, and we said this back in April, the road that we had been on with various regions for over a year, before April 28, wasn't working," Searle said Tuesday.

Norwegian argued that the government's socio-economic contribution still doesn't let the pipeline proponents off the hook.

"It's really, to me, not enough funding to deal with all the social problems and issues we have," she said. "Sure it's the federal government's responsibility, but at the same time Imperial is also bringing this (pipeline) upon us so they should be able to supplement us on what's lacking there."

- with files from Jason Unrau