The Saint Croix Courier

2007 Mar 9

LNG agreement signed

PLEASANT POINT, Me. — After over a year of discussions and debates, the two reservations of the Passamaquoddy Tribe have joined together to sign the intensely negotiated Project Coordination and Tax Agreement with Quoddy Bay LNG.

Following the Passamaquoddy Tribe's Indian Township Reservation vote last week in support of the Quoddy Bay LNG development, the Passamaquoddy Tribe and Quoddy Bay LNG have signed the agreement that would lower the Tribe's construction tax from three per cent to one per cent and eliminate all other personal and property taxes for the LNG project on Passamaquoddy land in exchange for substantial lease payments.

The agreement initiates lease payments to the Passamaquoddy Tribe, which will be split between the Indian Township Reservation and the Pleasant Point Reservation according to their respective populations.

The agreement was voted on by the Passamaquoddy Joint Tribal Council, comprised of representatives from both reservations, last night and passed nine to two with one abstention.

The agreement was signed this week by Chief Rick Doyle of the Pleasant Point Reservation, Governor William Nicholas of the Indian Township Reservation, and Brian Smith, Project Manager of Quoddy Bay LNG.

"While we have had the support of the Pleasant Point Reservation for years, we're thrilled that the Passamaquoddy Tribe as a whole is now behind the Quoddy Bay LNG development," said Brian Smith.

"We are happily wiring almost half a million dollars in lease payments that have been accruing over the past year. "

The residents of Indian Township voted to accept the offer and support the Tax Agreement and the Quoddy Bay development last week by a 224 to 10 margin, and the Joint Tribal Council voted to approve the agreement on Monday.