Four Men are Suing the Saskatchewan Government for Restricting their Rights to Drill for Oil near the Provinces’s other Big Money-Maker, Potash Mines
January 12, 2015 3:03 pm
REGINA – A clash involving two of the Saskatchewan government’s biggest revenue producers – oil and potash – has the province facing a lawsuit.
Four Men from the area of Rocanville, Sask., are launching the suit against the province, claiming they suffered financial losses because of government restrictions on oil well drilling near potash mines.
The claim, filed at Regina Court of Queen’s Bench on Wednesday, names the minister of justice and attorney general, as well as the minister of energy and resources, as defendants.
The allegations haven’t been proven in court. A statement of defence hasn’t yet been filed.
According to the claim – put forward as a class-action suit by Regina lawyer Tony Merchant – Allan Kingdon, Donald Williamson, Scott Norton and Allan Wray Johnston each own several quarters of land in the Rocanville area, 230 kilometres east of Regina.
The men claim their private property rights were breached when the government set up the Rocanville Potash Restricted Drilling Area – affecting land values, as well as landowners’ rights to drill, lease land or receive royalties or income from oil and gas production on their land.
The men claim they had all previously entered into agreements with various oil and gas companies, but all activity had to be stopped because of the restricted area, which came into effect in late 1996.
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