It is Alsands view that oil self-sufficiency in Canada is being placed in greater jeopardy because of the escalating conflict between the federal and Alberta governments. Since oil sands development is the surest means of guaranteeing a continued crude supply, we strongly urge that these projects be divorced from the current pricing dispute and be allowed to proceed, according to D. W. MENZEL, chairman of the ALSANDS PROJECT GROUP.
Alsands has stated before, that delays are detrimental to oil sands mega-project both in terms of cost and time lost, and it is feared that the current situation will destroy any hope of completing them even by 1987, Menzel said.
The consortium urges both governments to reconsider the margin sharing pricing proposal, offered in recent weeks as a basis for negotiated solution to the present conflict, and which addresses the critical concerns of both governments with respect to synthetic oil pricing. We hold the strong conviction that this pricing concept has its greatest strength in protecting the consumer from inordinate price escalations, at the same time taking a first major step toward reversing the dwindling supply of conventional oil. Menzel said.