Alberta’s oilsands carbon liability at centre of closely watched New York fraud lawsuit

Exxon Mobil accused of misrepresenting the risks the operations face as governments move to fight climate change

Alberta’s oilsands are at the centre of a closely watched court battle in New York today.

The state’s attorney general is accusing Exxon Mobil of misrepresenting the risks the operations face as governments move to fight climate change.

Court documents say Exxon lowballed by $30 billion the impact of carbon pricing on 14 Alberta oilsands projects.

Exxon is a major player in the oilsands through its subsidiary Imperial Oil.

The state alleges false estimates concealed risk from investors and inflated the value of Imperial’s assets.

The company’s lawyer has testified that Exxon did nothing wrong, and called the accusations bizarre and twisted.

The state claims that low carbon cost estimates falsely extended the economic life of some assets. It alleges the life of Imperial Oil’s facility in Cold Lake, Alta., would be 28 years shorter if assigned a true carbon price.

It also claims carbon costs at the Kearl project in northern Alberta were understated by 94 per cent.

Exxon has tried and failed twice to block the case. It says the lawsuit fails to account for the different ways the company accounted for increasingly strict climate regulations.

The Canadian Press

Like us on Facebook and follow us on Twitter.

Just Posted

Ponoka’s St. Augustine Queens hoping to add a provincial crown

Volleyball squad makes first appearance at provincial championship since ??

November is Family Violence Prevention Month

The month of November is Family Violence Prevention Month and Alberta has… Continue reading

PHOTOS: 2019 Ponoka Festival of Trees

Paige Hinton sings during the Senior’s Candy Cane Coffee Friday, Nov. 15.… Continue reading

Future of Parent Link unknown after province announces changes

Likely less programs for children as scope increases to include older kids

Fort Ostell Museum, Ponoka FCSS make their requests to council

Museum deals with drug dealers and operates tight budget

VIDEO: Ron MacLean says he doesn’t believe former co-host Don Cherry is racist

Sportsnet fired Cherry on Nov. 11, two days after controversial on-air comments during ‘Coach’s Corner’

Red Deer Rebels beat up 7-1 by Raiders

Rebels look to rebound Saturday at home against Hurricanes

John Mann, singer and songwriter of group Spirit of the West dead at 57

Mann died peacefully in Vancouver on Wednesday from early onset Alzheimer’s

1898 Yukon gold rush photo featuring Greta Thunberg look-alike sends internet into tailspin

Jokes erupted this week after a 120-year-old photo taken by Eric A. Hegg surfaced from archives

CN Rail strike and lack of trucking alternatives stoke forest industry fears

Companies calling on the federal government to ‘do everything in its power’ to end the strike

Prime Minister Justin Trudeau unveils new Liberal cabinet

Pivotal role in his new cabinet for a minority-government era goes to Chrystia Freeland

Trudeau to take sober approach to unveiling new cabinet for minority mandate

Liberals survived a bruising campaign that diminished Trudeau’s stature as a champion of diversity

Lowe’s says it will close 34 ‘underperforming’ stores across six provinces

The stores include 26 Ronas, six Lowe’s and two Reno-Depots

Notley kicked out of legislature for comment on election watchdog firing bill

When Speaker Nathan Cooper directed Notley to apologize, she refused

Most Read