Pierre River Project Application Nixed by Shell Canada
The application from Shell Canada for the Pierre River project has been nixed by the company amid economic concerns and falling oil prices around the globe. This project has already been delayed time and time again, and the oil company decided to scrap the application and focus on other projects which are a higher priority instead. Jeff Mann, the spokesperson for Shell Canada, explained “The timing of this decision is about focusing on current priorities. It is unrelated to the current economic environment.” The Pierre River project application was initially filed approximately 6 years ago, but today the energy industry is facing shifting priorities when it comes to the oilsands. According to Lorraine Mitchelmore, the CEO and president of Shell Canada, “Our current focus is on making our heavy oil business as economically and environmentally competitive as possible. We will continue to hold the leases and can reapply in the future when the time is right.”
Shell Canada planned the Pierre River project on paper but the mine has never been built or developed due to project delays. Mann told the media that “We already have regulatory approval to more than double existing oilsands output. Debottlenecking at mines, expansions, all of those things add to opportunities to grow business in our current state.” The withdrawal of the application is celebrated by the Athabasca Chipewyan First Nation band, who opposed the Pierre River project from the beginning. The band members were concerned about the impact that the project could have on the environment and the wildlife in the area.