Utica Resources' Court Victory Means the Government Must Choose: Develop Quebec's Hydrocarbons or Compensate Companies at Fair Value

QUÉBEC, Nov. 23, 2021 /CNW/ - In a judgment rendered on November 15, 2021, the Quebec court decided in favor of Gaspe Energies (a subsidiary of Utica Resources) and clearly ruled that a key article of the regulation limiting hydrocarbon development in Québec is invalid. Following this decision, we look forward to discussing with the government the best way to develop Quebec's huge hydrocarbon resources.

Quebec's hydrocarbon resources are significant and producing locally rather than continuing to import hydrocarbons would greatly benefit Quebec. Local production would provide Quebec with sizeable new revenues from royalty and tax, create many high-paying local jobs, improve Quebec's energy security and reduce GHG emissions associated with the importation of the hydrocarbons we consume.

The Legault government's announcement to expropriate the hydrocarbon companies' rights is without environmental or financial logic and is bad for Quebecers. If the government persists with this historic error and wants to remain serious with investors, it must follow Quebec legislation and immediately begin the process of compensating companies on the basis of fair value.  Any other approach would be illegal, neither fair nor equitable, and, as Minister Julien himself indicates, would make Quebec look like a banana republic.

About Utica Resources
Utica Resources is a Quebec company whose mission is to participate in the energy transition currently underway by developing a diversified portfolio that includes, in addition to light oil and natural gas, renewable energy projects such as hydrogen and CO2 storage. All our projects are carried out with a view to sustainable development, optimal use of available resources, respect for host communities and maximization of local economic benefits.

About the law
https://www.newswire.ca/news-releases/expropriation-of-oil-and-gas-companies-quebec-must-respect-its-own-legislation-and-pay-fair-value-822663894.html

SOURCE Ressources Utica

Utica Resources, Mr. Mario Lévesque, President and Chief Executive Officer, [email protected]