Two players in the Newfoundland oil patch are suing the provincial government over royalties even as government dangles millions of free dollars.
Newfoundland and Labrador has put $175-million on the table for Suncor if the company provides assurances that the Terra Nova project will resume. The Terra Nova FPSO is no longer even on site.
The province gave Husky $41.5-million for the West White Rose project but the only guarantee there is that West White Rose will be kept in warm shutdown.
Andrew Parsons, the minister responsible for energy, does not connect the two situations.
He says business disputes happen all the time. If it’s a dispute on calculation, it comes down the math—and if you can’t come to an agreement, you have someone figure it out and you move forward.
