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Article

30 Dec 2011

Author:
Jeffrey Jones, Sympatico Finance [Canada]

Canada natives sue Shell over oil sands funding

The Athabasca Chipewyan First Nation seeks C$1.5 million ($1.47 million) from Shell for allegedly blocking requests for money to be used for sustainable development and education initiatives in the community under agreements made in 2003 and 2006. Shell's Athabasca Oil Sands project, Canada's third largest tar sands mining development, is in the aboriginal group's traditional territory. The Athabasca Chipewyan said the company is trying to change the terms of the funding, meant to ease the impact of tar sands development on the community...Shell said the dispute amounts to a fraction of the more than C$200 million the company has spent on numerous initiatives in the community over the past five years under its "good neighbor" program...John Broadhurst, Shell's vice-president, development, heavy oil...said he was disappointed by the lawsuit and hoped the two sides can reach a settlement. "It's not that we're not committed to doing right by the community and following through on our commitments," Broadhurst said.