August 26, 2004

No bids submitted for B.C. coalbed methane leases, environmental group says

From the Friday, August 27, 2004 issue of the Vancouver Sun . . .

VANCOUVER (CP) -- An environmental group says no energy companies have submitted bids for controversial coalbed methane-extraction leases in southeastern British Columbia.

The East Kootenay Environmental Society today thanked oil and gas firms for refraining from bidding for rights auctioned by the B.C. government south of Fernie, B.C., near the border with Montana. The deadline for bids was Wednesday.

Local environmentalists and the Montana government opposed plans to auction coalbed-methane leases in the transboundary Rocky Mountain region before a complete environmental assessment had been done.

They fear the drilling will produce large amounts of polluted, saline water that will damage the local watershed and will find its way into the Elk and Flathead Rivers flowing south into Montana.

Society spokesman Casey Brennan said the absence of bids shows energy companies recognize it's risky and reckless to proceed without a thorough assessment of the risk of development on wildlife, air and water on both sides of the border.

In an interview from Calgary, Brennan credited a vigourous lobbying effort by Fernie-area residents and environmental activists with deterring the bids.

But he also said the prospect of an international flap over the issue may have spooked companies away from the auction.

Read the entire article . . .

Posted by nfpa at August 26, 2004 10:28 PM