April 30, 2007

Leddy Exploration levied $42,500 penalty for pipeline oil spill

CALGARY, ALTA-Leddy Exploration, in Calgary, was fined $2,500 and ordered to contribute $40,000 to the Environmental Damages Fund after pleading guilty to a charge of violating subsection 36(3) of the federal Fisheries Act. The charge stemmed from a May 2004 release of crude oil from a pipeline into Poplar Creek near Winfield, Alberta. Environment Canada charged the company in May 2005 following an investigation. Section 35(3) of the Fisheries Act protects fish-bearing waters from the deposit of any substance that is harmful to fish and aquatic life. Crude oil is considered a deleterious substance as defined by the Act. The monies contributed by Leddy to the Environmental Damages Fund will be used to establish a trout lake in the area where the release occurred. The fund, administered by Environment Canada, is used to help restore ecosystems. In addition, as part of a creative sentencing process, Leddy will make a presentation at a Western Canada Spill Services Oil Spill Co-op exercise about the events that led to the release and suggestions to prevent similar occurrences in the future.

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