Oil companies file application to join legal challenge over environmental permits

Sep 05, 2018 News

Oil companies have requested to join the proceedings for which local activist Raymond Gaskin is challenging the legality of the environmental permit granted to them to conduct explorations here.
Earlier this year, Gaskin sought to challenge the State, particularly the Minister of Natural Resources, Raphael Trotman’s decision to authorise oil companies, Hess Guyana Exploration Ltd (“Hess”) and CNOOC Nexen Petroleum Guyana Ltd. (“Nexen”) to conduct explorations here, without proper environmental permit(s).

Raymond Gaskin

More specifically, Gaskin sought to block the companies from proceeding with their exploration and production on the grounds that Hess and Nexen have not been issued separate environmental permits.
Gaskin does not agree that Hess and Nexen are covered by the environmental permits issued to ExxonMobil, through its local subsidiary Esso Exploration and Production Guyana Limited.
“They are three separate companies and they have to have permits,” argues Gaskin who is represented by Attorney-at-Law, Melinda Janki.
Although the oil companies are the subject of the case, they are not listed as parties in the proceedings. The matter is essentially between Gaskin and the State. However given its interest in the matter, the oil companies have filed an application in the High Court to join the proceedings.
The application by Hess Guyana Exploration Ltd (Hess) and CNOOC Nexen Petroleum Guyana Ltd (Nexen) came up before Chief Justice (Ag) Roxane George yesterday.
During a chamber (private) hearing before the Chief Justice, the application was presented by Attorney- at- law Andrew Pollard, S.C appearing on behalf of the oil subsidiaries. Following the hearing, a date was set for a ruling on whether the companies can partake in the matter, as interested parties. The matter was therefore adjourned to October 25, 2018.
Earlier this year, the case thrown out of the High Court after it came up before Justice Franklyn Holder. Justice Holder, who among other things, ruled in favour of the three companies in his finding that the companies constituted a single developer.
Gaskin, nonetheless, through his attorneys, had moved to the Appeal Court, asking for a speedy hearing and determination of the case.
He had argued that Justice Holder exceeded his jurisdiction and erred in finding that “the form of the joint arrangement had to have been set down in an application for the Petroleum Production Licence.”
During a hearing in the Appeal Court, Gaskin’s lawyer Trinidad-based Guyanese Senior Counsel, Seenath Jairam sought to convince the Appellate Judges that the Court should hear the appeal urgently, since it has to do with liability for environmental impact on Guyana and the Caribbean and neighbouring countries.
“If there is an environmental disaster, God forbid, we are saying there are grave consequences not only for Guyana but the Caribbean, given where the Liza wells are near the Caribbean Sea and our neighbouring countries,” he said.
Appellate Judges however ruled that the matter should be heard in the High Court before it reaches the Court of Appeal.
Appellate Judge Dawn Gregory pointed out that Gaskin had put forth a two-prong argument; one to do with the ability of Hess and Nexen to carry out the licence safely; and the other procedural – calling for the matter to be dealt with urgently.
She noted that while the court was not satisfied with urgency on the first count, merits in the second prong of the argument is that the matter should be dealt with expeditiously.
“So we grant the application to treat it with urgency.”
The matter was therefore reverted to the High Court for the Chief Justice to fix a date for the matter to start again before a Full Court.

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