Documents filed with the Court of Queen’s Bench in New Brunswick have revealed how certain aquaculture sites in the Bay of Fundy narrowly avoided an environmental disaster last summer.
The documents recount an outbreak of sea lice at aquaculture farms managed by the insolvent Gray Group. The documents were written by Ernst & Young receiver George Kinsman, who was appointed to manage the aquaculture company’s assets and to find a buyer for them.
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It had been only weeks since Kinsman was assigned to look after the assets when a surge in sea lice counts was discovered at one of the Gray Group’s salmon farms, CBC reported. The documents recount how Kinsman tried to convince insurers that more than 500,000 fish at Gray Group’s Hospital Island farm – as well as fish at the nearby Hog Island farm – needed to be euthanized in order to pre-empt the spread of the infestation.
Kinsman was apparently warned by insurance adjuster Greg Potten of a provision in the insurance policy against “intentional slaughter” that would prevent coverage for the loss of fish. Kinsman emailed Potten, explaining that an “environmental disaster” would follow if the fish were not put down, “with 600 tons of rotting biomass washing up along the Saint Andrews sea shore line, resulting in unsightly and unbearable odours that will affect the seaside vacation townships.”
Unwilling to wait for further word from the insurer as the infection quickly spread, Kinsman approved arrangements for contractors with pumper boats to collect and dispose of the infested fish.
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A letter from the Department of Aquaculture’s chief veterinarian even suggested that Kinsman should have all of the Gray Group’s farms cleared of fish.
The workers hired by Kinsman to put down the infected fish found that nearly half of the salmon at the Hospital Island and Hogg Island farms – 252,000 – had fatally succumbed to the parasite.
The remaining 284,000 fish were euthanized, but the report did not disclose how it was carried out.
Saint Andrews Mayor Doug Naish told CBC that he and his staff was unaware of the infestation incident as it occurred last summer.
The Atlantic Canada Fish Farmers Association stated the incident was of great concern.
“There was a salmon farming company that was no longer able to manage its farms and take care of its fish and an accounting firm was trying to manage it,” said Atlantic Canada Fish Farmers Association executive director Susan Farquharson.
“Our members were concerned about animal welfare and bio-security.”
Matthew Abbott, an environmentalist with the Conservation Council of New Brunswick, voiced his concerns about the three Gray Group farms, which he says have not been properly flushed to prevent another infestation.
Norway-based Marine Harvest purchased Gray Group’s assets in February for $15 million – including the affected farms. While the farms are currently vacant, a spokesperson for Marine Harvest said that the company is developing a business plan for operations in the area.
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