Company defends Rachel Notley's support for the oilsands after Brian Jean attacks NDP

An oilsands company is defending the Alberta NDP government, after a United Conservative Party leadership candidate accused Premier Rachel Notley of wanting to shut down the industry.

UCP leadership hopeful Brian Jean told a roomful of oilsands professionalsTuesday that Notley and the the NDP wanted to "close down the oilsands."

• Brian Jean, Rachel Notley spar over support for oilsands
• JACOS estimates 20 per cent cost increase of Hangingstone oilsands

Jean, speaking at this week's Oil Sands Trade Show & Conference in Fort McMurray,said the Notley government's policies, including the carbon tax, were chasinginvestment away from the industry.

Brian Jean and Rachel Notley spar over the future of the oilsands

7 years ago

Duration 1:00

United Conservative Party leadership candidate Brian Jean accuses Premier Notley of planning to shut down the Alberta oilsands. Notley argues that her government is leading the oilsands into the future.

But oneday after Jean's comments, Satoshi Abe, the president ofJapan CanadaOil SandsLtd. (JACOS), said he supports the carbon tax.

"I think, not only for us,butall energy companies know that we have to address the concerns of climate change," Abe said Wednesday. "I would like the government to take the leadership on that."

Abe was speakingat aribbon-cutting ceremony for the company's Hangingstoneoilsandsexpansion.

The steam-assisted gravity drainage operation uses heated water to melt bitumen underground so it can bepiped to the surface.

The project is currently producing 1,000 barrels of oil a day and isexpected to produce 20,000 barrels by mid-2018. The site currently employs 190 people.

The project is a joint venture between JACOS, which is owned by a consortium of Japanese companies, and Calgary-based Nexen.

Notley attended the ribbon-cutting ceremony and said the expansion projectdemonstrates that companies are eager to invest in Alberta's oilsands.

"These industry leaders, several of them speak about how they have a tremendous amount of confidence in the economic case," Notley said.

Follow David Thurton, CBC'sFort McMurraycorrespondent, onFacebook,Twitteror contact him viaemail.