Founding of the Red River Colony

Background. Thomas Douglas, 5th Earl of Selkirk, was a Scottish landowner and philanthropist who sponsored immigrant settlements in Canada. As the majority shareholder of the Hudson's Bay Company, he arranged to purchase land at Red River to establish a colony for dispossessed Scottish immigrants. By 1811, the Hudson's Bay Company reconsidered Selkirk's proposal and granted him 300,000 square kilometers, an area five times the size of Scotland, to establish an agricultural settlement in the region of Red River.

Establishment. The Red River Colony, also known as Assiniboia, was set up in 1811 on 300,000 square kilometers of land in British North America. Historians note that although Selkirk bought a considerable number of Hudson's Bay shares between 1811 and 1812, he received his initial grant in 1811. The colony was intended to provide a home for dispossessed Scottish immigrants, marking a significant shift in the company's focus towards settlement.

Conflict. The establishment of the colony put the North West Company on the defensive after 1810. Due to the persuasive efforts of the North West Company, only 18 settlers arrived at Red River in August 1812. The colony faced attacks from the North West Company starting in the summer of 1815. The conflict between the Hudson's Bay Company and the North West Company intensified between 1800 and 1821, eventually leading to their merger.