pipeline wars

Peru: indigenous resistance defeats oil contract

Canadian oil firm Frontera Energy Corp has failed to secure a new contract for operating Peru’s biggest oil bloc because of a lack of "adequate conditions," state company PetroPeru announced Oct. 11. Frontera has operated Bloc 192 in the Amazonian region of Loreto for the past two years, but control of the oilfield will revert to PetroPeru once its contract ends in 2019. PetroPeru gave no further details on the decision, but it comes two weeks after Frontera applied to state regulator PeruPetro for an official declaration of force majeure over protests by indigenous communities living within the oil bloc. The declaration would allow the company to legally suspend contractual obligations due to an event outside of its control. Indigenous protesters seized oil wells in Bloc 192 to demand that their communities be consulted before a decision was made on renewing the contract.

China wins contract for Amazon mega-project

Peru's Transport and Communications Ministry on Sept. 7 signed a contract with Chinese state-owned engineering giant SinoHydro to build the Hidrovía Amazónica, a mega-project aimed at turning the Amazon's major rivers into arteries for delivering the resources of the rainforest basin to foreign markets. Peruvian firm Construcción y Administración SA (CASA) is also to be a partner in the deal, announced earlier this year by the government's foreign investment arm, ProInversión. With a projected cost of $95 million, the Hidrovía calls for dredging 2,687 kilometers of Amazon waterways to make them navigable year-round. It encompasses stretches of the rivers Marañón and Amazonas (from Saramiriza to Santa Rosa), Huallaga (from Yurimaguas to the Marañón) and Ucayali (from Pucallpa to the Marañón). These rivers usually are too low for commercial navigation during the July-October dry season). Proinversión claims to have carried out a "prior consultation" with impacted communities along the rivers, having won 40 agreements to proceed with work. (Gestion, Sept. 7; El Peruano, July 17; BBC Mundo, July 7)

Attacks continue in countdown to ELN ceasefire

Guerilla commander Nicolás Rodríguez AKA "Gabino" has issued orders to his National Liberation Army (ELN) fighters to honor the bilateral ceasefire that is to take effect on Oct. 1. Colombian President Juan Manuel Santos said he hoped the ceasefire would lead to the ELN laying down arms, as happened with the FARC. But these statements came just days after yet another rupture on the Caño Limón-Coveñas oil pipeline, which government negotiator Juan Camilo Restrepo blamed on the ELN. "The ELN's actions in recent days are truly insensitive and unexplainable and, of course, reprehensible because we are facing an ecological crime of enormous magnitudes," Restrepo told Caracol Radio. The rupture, at Teorama, Norte de Santander, spilled oil into La Cristalina and La Tiradera canyons, which drain into the Río Catatumbo. (Reuters, Sept. 29, EFERTTNews, Sept. 28; Semana, Sept. 27)

Colombia: historic ceasefire with ELN guerillas

The Colombian government signed a ceasefire with the National Liberation Army (ELN) after a third round of peace talks in Ecuador's capital Quito Sept. 4. The first-ever bilateral ceasefire in the 53-year history of the guerilla organization came two days before Pope Francis is to arrive in Colombia. The ceasefire is to formally take effect Oct. 1, to be renewed in January if peace talks continue to progress. As part of the deal, Colombia's government pledged to suspend military operations against the group, improve conditions for imprisoned ELN members, and protect human rights defenders. (El Espectador, Las 2 Orillas, Jurist)

Victory for Inuit sea rights in Canadian high court

The Supreme Court of Canada ruled unanimously July 26 in favor of the Inuit community of Clyde River, Nunavut, which has for the past three years fought to stop seismic testing in their Arctic waters. The Court found that the Inuit were not properly consulted on the oil exploration project off Baffin Island. The decision nullified a five-year seismic testing permit issued by the National Energy Board (NEB) in 2014. The justices wrote that the NEB's consultation process with the community was "significantly flawed," paying little respect to the aboriginal rights of the Inuit and their reliance on local marine mammals for subsistence.

Peru: Cuzco unrest over airport plan

Protesters blocked the train line to the Inca archaeological site of Machu Picchu, stranding thousands of tourists during a 48-hour paro (civil strike) by residents of Peru's Cuzco region. British-owned PeruRail company announced that service was suspended July 13-4 because of the blockades. At issue is a planned new airport for the Cuzco area, that was suspended in March due to controversies surrounding the construction contract. The airport—slated for Chinchero Valley, to the north of Cuzco's capital in neighboring Urubamba province—has now been pushed back until 2020. Local residents were eager for the region's first intercontinental airport to boost tourism revenues, and as a symbol of autonomy from Lima. Constantino Sallo, president of the Defense Front for the Interests of Chinchero District, demanded the government set a timetable of between 90 and 120 days to break ground on the project.

Peru: coca eradication met with guerilla attack

Announcement of an aggressive new coca-eradication campaign in Peru was met with a deadly attack on security forces in the targeted production zone. Authorities said "narco-terrorists" attacked a National Police patrol in the Apurímac-Ene-Mantaro River Valley (VRAEM), leaving two troops dead. The VRAEM, a pocket of jungle on the eastern slopes of the Andes, is said to produce 75% of Peru's coca leaf, but the government has until now resisted US pressure to launch an eradication program there, for fear of enflaming the tense situation in the valley. A surviving remnant of the Shining Path insurgency remains active in the VRAEM, offering cocaleros protection from security forces in exchange for their loyalty.

Control of oil, water at issue in Burma peace talks

Seven of Burma's hold-out ethnic rebel armies formed a new committee this week to prepare collective talks with the government in anticipation of the next round of peace negotiations. Participating groups in what is now being called the "Northern Alliance" were the Kachin Independence Organization/Kachin Independence Army (KIO/KIA), Arakan Army (AA), Myanmar National Democratic Alliance Army (MNDAA), Ta'ang National Liberation Army (TNLA), Shan State Progress Party/Shan State Army (SSPP/SSA), National Democratic Alliance Army-Eastern Shan State (NDAA-ESS), and the United Wa State Army (UWSA). The meeting was held in Pangkham, administrative capital of the UWSA-controlled territory. After eight other northern ethnic armies have signed peace deals in recent years, these groups remain officialy at war with the Tatmadaw, the government's armed forces.