Home / Environment / First Nation Wins $12.2M Over 2016 Diesel Spill
First Nation Wins $12.2M Over 2016 Diesel Spill
9 Jun
Summary
- Settlement reached over 2016 tugboat diesel spill.
- Company to pay $12.2 million and perform healing ceremony.
- Spill polluted over 350 km of coastline impacting clam harvests.

The Heiltsuk First Nation has reached a significant $12.2 million settlement with a Texas-based cargo barge operator concerning a 2016 diesel spill. This agreement addresses the environmental devastation caused by the grounding of the tugboat Nathan E. Stewart on October 13, 2016.
The spill released approximately 110,000 litres of diesel fuel and 2,000 litres of lubricant into waters crucial for clam harvesting and cultural activities. The Heiltsuk First Nation reports that the pollution extended across more than 350 km of coastline, leaving lasting impacts.
As part of the settlement, the operator must also participate in a traditional washing and healing ceremony. Furthermore, they are required to provide 90 days' advance notice before traversing the nation's territories.
Heiltsuk elected Chief Marilyn Slett stated that while the settlement is twice the legal limit, it represents only a fraction of their total losses, highlighting the inadequacy of current oil spill compensation systems for Indigenous communities facing catastrophic cultural damage.
The Transportation Safety Board's investigation attributed the grounding to a fatigued watchkeeper, noting insufficient measures by Transport Canada to prevent such fatigue. The First Nation is actively pursuing additional compensation from the federal government and Canada's Ship-source Oil Pollution Fund, alongside calls for regulatory reform.