Derrick Digest for Jan. 6, 2017: Expect the unexpected with these ‘outside-the-box’ 2017 energy storylines
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. Enjoy and share!
Jan. 6, 2017
What’s coming into focus on the 2017 oil and gas landscape?
As energy columnist Peter Tertzakian notes, there’s the obvious—OPEC compliance, U.S. rig counts, crude oil pipeline approvals—and then there’s the not so obvious.
Tertzakian, managing director at ARC Financial Corporation, recently compiled a Top 10 list of "outside-the-box" energy themes for 2017 . . . some of which might just take you by surprise.
Grande Prairie as the next oil-and-gas boomtown;
Canadian market access for natural gas;
Sub-Saharan Africa’s escalating energy demands; and
Hydraulic fracturing as a global practice.
Hibernia offshore field surpasses a billion barrels
It’s Newfoundland and Labrador’s gift that keeps on giving.
Just prior to Christmas, Hibernia Management and Development Company announced that Newfoundland’s Hibernia offshore oil field has surpassed the billion-barrel mark in oil production.
The life of the project, which was launched in 1997, is now expected to run past the year 2040.
Hibernia project partners “have paid billions of dollars in royalties and taxes, created thousands of jobs, and provided the foundation for Newfoundland and Labrador’s offshore oil and gas industry,” noted HMDC president Jennifer Walck in a news release.
Newfoundland currently has three producing offshore projects, with the Hebron development expected to begin production in late 2017, according to the St. John’s Telegram.
“Newfoundland and Labrador has come a long way in developing our offshore since the first major oil project, Hibernia, began producing oil on Nov. 17, 1997, and here we are at the tremendous milestone of having produced one billion barrels of oil from the field,” says the province’s premier Dwight Ball. “With our province’s abundant resources and highly skilled workforce, we anticipate the continued successful exploration and development in the oil and gas industry for many years to come.”
Energy workers deserve an ‘equal measure’ of Canada’s concern
It’s been a steady mantra from the Prime Minister’s office—that Canada’s federal Liberal government is giving equal attention to the economy and the environment.
The 100,000-plus out-of-work Canadians from the battered energy industry might have something to say about that.
With the oil and gas sector praying for better fortunes in 2017, National Post columnist Rex Murphy recently asked a fair question—is Justin Trudeau, who never met a selfie stick he didn’t like, as interested in helping put Canadians back to work as he is being the poster boy for climate change legislation?
“Is he going to sell the pipelines with the same vigour and commitment and intensity that he so willing gives over to the more tentative issue of global warming?” asks Murphy. “Will we see him and Minister (Catherine) McKenna, with their usual chorus, as a counter to the professional protestors who are so steadfast in opposing every specific project and the oil sands more generally?
“Let the same excitement and conviction that marks concern for the environment mark the concern for the many who have lost their jobs in Alberta and elsewhere,” adds Murphy. “They are Canadians. They deserve only what the prime minister has promised — an equal measure of his care and concern.”