Heat grows on Talisman over Sudan - The Globe and Mail, Thursday, May 4
Human-rights groups blast Calgary firm, but CEO denies contributing to abuses
Calgary and Ottawa -- STEVEN CHASE in Calgary, JEFF SALLOT in Ottawa
Talisman Energy Inc. strongly defended its operations in Sudan yesterday as two human-rights groups linked the company to horrible abuses in the war-torn country.
"Massive human-rights violations by Sudanese security forces, various government-allied militias and armed opposition groups are clearly linked to foreign companies' oil operations," Amnesty International said in a report released in London.
In a separate statement, the Montreal-based International Centre for Human Rights and Democratic Development said, "The evidence is now overwhelming that Talisman's operations in the Sudan are contributing to the desperate human-rights situation in that country."
Talisman's chief executive officer James Buckee, speaking at the company's annual general meeting in Calgary, denied exacerbating the conflict and suggested that Talisman shares the goals of its critics.
"When we listen to a lot of the claims, the desires of Amnesty International or civil-rights groups, we're trying to get to the same point," he said. "We would like peace, we would like prosperity. We similarly abhor the horrible things that happen there.
"But what do you do about it?" Mr. Buckee said, insisting that things would be worse if Talisman abandons the project. "If we withdraw, [our stake would] be taken up by somebody else who, I promise you, cares less than we do," he said.
Mr. Buckee said Talisman believes it can exert quiet influence on the government of Sudan in concert with increased diplomatic ties between Canada and the largest country in Africa.
The stock market appears to have shrugged off the furor, sending Talisman's share price to within $1.15 of a 52-week high on record results released Tuesday that included a 5,000 per cent increase in quarterly profit from the year-earlier period.
Talisman has been the target of human-rights critics since it first took a 25-per-cent stake in a lucrative Sudanese oil venture in 1998.
Its partners include the Sudanese government and the state oil companies of China and Malaysia.
The Amnesty report says Sudan's newfound oil wealth enables the government to buy arms, including a shipment of Polish-made tanks that arrived in the country on the very day of the first oil exports last year.
Yesterday, dissenting shareholders dominated Talisman's annual meeting. Protests also disrupted last year's proceedings; this year, journalists easily outnumbered the 25 or so protesters.
"The shares of Talisman Energy have got the colour of blood and the stench of death on them," shareholder representative Merv Schafer told yesterday's meeting.
Mary Richmond, who was protesting outside the Palliser Hotel in Calgary where the meeting was held, said, "As a Canadian, I am embarrassed that we have a Canadian company there which is working and supporting the people who are so oppressive the people of Sudan."
Amnesty said Talisman, Canada's largest independent oil producer, and other foreign oil companies "are turning a blind eye to the human-rights violations committed by government security forces and their allied troops in the name of protecting the security of oil-producing areas" in Sudan.
The companies cannot wash their hands of responsibility when they are relying on the Sudanese military, private militias and security companies to protect their investments, Amnesty said.
Civilians living near the rich oil fields have been "deliberately targeted for massive human-rights abuses" that include being forced from their homes, bombed and strafed from helicopter gunships, murdered, tortured, raped and abducted, Amnesty said in its 21-page report.
Credible reports suggest that the Sudanese government used helicopter gunships piloted by Iraqi soldiers to clear an oil area of civilians, Amnesty said.
Government ground troops then allegedly killed male villagers and nailed women and children to trees.
Talisman spokesman David Mann said the conflict in Sudan is occurring regardless of his company's involvement.
"War's been going in Sudan for 40 years and it's a tragedy. So 40 years of ignoring the situation, of not investing, hasn't helped. We're trying to do something different, do something positive."
He said Talisman believes it is helping rather than hurting Sudan by investing in it through jobs and community-development relief.
"We think dialogue and economic development lead to peace."
He also said Amnesty International had not responded to a invitation to visit Talisman and its Sudan operations.
Mr. Buckee said he believes Talisman is doing its bit to improve life in Sudan by adopting a code of ethics for operating internationally, by funding community development and by pressing its partners to live up to higher standards.
He said he will be flying to Beijing shortly to try to convince the Chinese state oil company that partners with Talisman in Sudan should sign on to the international code of business ethics as well. He will be asking the Malaysian state partners to subscribe to the code, Mr. Buckee said, adding that the Sudanese are keen to sign on.
Maina Kiai, Amnesty's director for Africa, said the group takes no position on whether Talisman and the other companies should be in the oil business with the Sudanese military regime.
But the companies have a moral obligation to make sure their operations are not contributing to rights abuses, he said in an interview.
Kathleen Mahoney, the board chairwoman of the International Centre for Human Rights and Democratic Development, said Talisman should produce an independently verified report on its compliance with the code of ethics that it adopted for international operations.
"Talisman should be part of the solution, not part of the problem," Ms. Mahoney said. |
