Globe and Mail reports federal auction of offshore oil rights

The Globe an Mail is reporting that the federal government is auctioning off 905,000 hectares of northern offshore exploration rights. According to the report, the scale of the offer indicates the eagerness of both exploration and oil and gas companies to drill for new finds in the Arctic.
Speaking to the Globe and Mail, a spokesperson for Minister John Duncan said:

“The bid call reflects the potential that we see for resource development,” he said. “The North is home to world-class natural resources that represent a tremendous economic growth and tremendous jobs potential for northerners – and, frankly, for all Canadians.”

According to the Globe:

…the sheer magnitude of what is on the block is a clear signal that some in the oil patch are contemplating a return north, because parcels aren’t made available unless companies request them. In that sense, the current bidding round is a remarkable turnaround for an industry whose plans were, until late last year, halted by a National Energy Board review into offshore Arctic drilling.


You Might Also Like