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Derrick Digest for Jan. 20: Canada’s millennials bullish on natural resource development, says poll

 

The Derrick Digest is a weekly collection of curated content, based on events from across the oil and gas industry, that caught our eye at Pennine Petroleum Corporation.

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Jan. 20, 2017

They live at home longer. They wait to get married. They rent, rather than own, and they share, rather than purchase.

There are all kinds of assumptions being made about millennials, the first generation to come of age in the 21st century.

But here’s one you might not have seen coming. According to a poll recently conducted by the Manning Centre, a strong majority of Canadian millennials support more development of the country’s natural resources.

According to the poll, 81 percent of Canadian millennials either “strongly support” or “somewhat support” expanding development of the natural resource sector.

“I think millennials recognize the importance of jobs and revenue for the economy,” says Peter McCaffrey, director of research at the Manning Centre, a conservative research, training and networking organization.

“They’re already struggling to find good-paying jobs, and the last thing they want is another hit to another industry that’s a big part of the Canadian economy.”

The Manning Centre online poll was conducted in mid-October, using a random sampling of 2,000 Canadians aged from 15 to 34.

 

An energy record to be viewed with pride

As Canada turns 150 this year, Bill Whitelaw reminds us that the roots of the country’s energy sector predate Confederation.

Just think of that.

Also worth thinking about, says Whitelaw, is that Canada’s energy landscape is the envy of many.

“Canadians would do well as energy citizens to see—as others do—our energy record as something to be viewed with pride, rather than disdain,” says Whitelaw, president and CWO of oil-and-gas news and data source JWN Energy, in an opinion-editorial published last week.

 Simply put, for many folks outside of Canada, the things we as Canadians take for granted in terms of energy development are looked upon with something that borders on envy,” he says. “It is nice to know we’re well ahead of a large part of the pack. It’s too bad more Canadians can’t see what’s in front of them.”

 

No development, no equalization cash, says Oliver

Given some of Donald Trump’s appointments, it’s clear that the energy industry will drive the U.S. economy.

It’s time, says Canada’s former minister of natural resources, for Ottawa to follow suit and buckle up.

In a commentary recently published by the Financial Post, Joe Oliver comes out swinging and says that Canadian “have-not” provinces refusing to develop their natural resources should “have their equalization payments reduced accordingly.”

Oliver notes that while the shale revolution has allowed the U.S. to go toe-to-toe with OPEC, four Canadian provinces have placed a moratorium on fracking. He also points out that while the U.S. exported nearly 50 billion cubic feet of LNG in the first half of 2016, B.C. still awaits its first LNG project.

“Countries blessed with vast natural resources profit enormously when they have the common sense and resolve to develop them,” says Oliver. “That requires making the economy and the welfare of their citizens a priority. It does not have to mean sacrificing safety or environmental protection.”