Teck Resources has pulled its application to develop a mammoth open pit bitumen mine, the Frontier mine project. The company's press release cited climate change for walking away from the Tar Sands.
“The growing debate around this issue has placed Frontier and our company squarely at the nexus of much broader issues that need to be resolved,” said company president and CEO Don Lindsay in a letter to federal Minister of Environment and Climate Change Jonathan Wilkinson, posted online Sunday night.
“In that context, it is now evident that there is no constructive path forward for the project.”So the mine is off, what does that mean? For starters it means we won't be needing 260,000 barrels a day of pipeline capacity. Among other things that may undermine Trudeau's Folly, the Trans-Mountain pipeline expansion.
Needless to say, the announcement didn't sit well with the Alberta tyro, Jason Kenney, who wasted no time blaming Trudeau as he ran through the halls of the legislature crying "wexit, wexit, wexit."
Supporters of the pipeline pointed to the thousands of jobs it was expected to create. Alberta Premier Jason Kenney has pushed for its approval, positioning it as an issue of national unity amid increasing discussion about Western alienation.
In a press release, Kenney blamed Teck’s decision to pull the application on the Liberal government’s “lack” of “courage” in defending the “interests of Canadians in the face of a militant minority” — a statement that contrasts with Teck’s public explanation.Teck CEO Don Lindsay doesn't seem to share Kenney's outrage.
Lindsay said investors and customers are now demanding government policies that reconcile the need for urgent climate action with resource development, something that "does not yet exist" in Canada, the letter said.
Lindsay’s letter said Teck supports stricter climate policy, including a carbon tax and a cap on oilsands emissions, two measures Kenney has pushed back against. (Alberta’s previous government passed an emissions cap on the oilsands, it hasn’t yet been implemented.)
"The promise of Canada’s potential will not be realized until governments can reach agreement around how climate policy considerations will be addressed in the context of future responsible energy sector development," the letter said.
"Without clarity on this critical question, the situation that has faced Frontier will be faced by future projects and it will be very difficult to attract future investment, either domestic or foreign."