The Honourable Michael Baker, Nova Scotia’s Minister of Finance, the Honourable Rodney MacDonald, Premier of Nova Scotia, the Honourable Peter MacKay, Minister of National Defence and Minister of ACOA, and Gerald Keddy, MP for South Shore – St. Margaret’s, at the signing of the agreement to implement the Crown Share Adjustment Panel Report.

Bridgewater, NS – On July 13, 2008, the Governments of Canada and Nova Scotia announced the resolution of an outstanding obligation respecting the province’s Crown Share Adjustment Payments for oil and gas projects in the Nova Scotia offshore.

Accepting the recommendation of an independent panel, the Government of Canada will provide Nova Scotia with approximately $870 million. Under this deal, Nova Scotia will receive its first payment of $234.4 million for past payments up to Mach 31, 2008. The remainder of the money comes from the estimated future payments for the Sable and Deep Panuke offshore projects for about $633 million.

“This is an exciting day for the future of our province,” said Gerald Keddy, MP for South Shore – St. Margaret’s. “This has been a long standing issue with previous governments unable to come to an agreement on how to put the Crown Share Adjustment Payment provisions into effect.”

This deal ends a 22-year-old dispute between the province of Nova Scotia and Ottawa. The deal compensates Nova Scotia for money it lost by giving up rights to its Crown share of offshore projects.

The money will be paid out over the next 15 years using calculations based on the future market price of oil and natural gas.

What’s more, if Nova Scotia has another significant find of either oil or gas off the shores of Nova Scotia the province will also receive Crown share benefits for those projects.

“I am proud to say we all represented Nova Scotia well. Peter MacKay, Rodney MacDonald, Michael Baker and I worked hard to get this agreement. It is rewarding to see that hard work and determination come to fruition to benefit Nova Scotians today and for future generations as well,” said Keddy.

For more information on Crown Share Adjustment Payments, including the agreement, backgrounder and the chair’s recommendations please visit www.gov.ns.ca/govt/crownshare/