INUVIK - Inuvik stands to play a key role in a potential Mackenzie Valley pipeline, but there's likely not much work in the offing this year, according to a GNWT resources specialist.

Inuvik will be the site of a natural gas processing plant for the 1,220 km Mackenzie Valley pipeline, if the project proceeds in the next few years. - photo courtesy of Mackenzie Gas Project Office

The only geo-technical work left to be done is in the Deh Cho region, said Murray Cutten, manager of resource development impacts for the Department of Municipal and Community Affairs.

"Having said that if there's route alignments they may have to go up and do some more," he told town council in response to a question from Coun. Vince Sharpe at Monday evening's committee of the whole meeting.

The National Energy Board gave its conditional approval for the $16.2 billion pipeline earlier this month.

The companies that want to build the pipeline have said they want federal funding to help offset the costs of the initiative.

"The Government of the Northwest Territories supports this project on the condition that is constructed in an environmentally and economically sustainable way that benefits our Northern development," said Ioana Spiridonica, Industry, Tourism and Investment's information and communications planning specialist.

Spiridonica told council that natural gas reserves in the region are estimated at nine trillion cubic feet with potential for 61 trillion cubic feet.

If and when the pipeline is complete it will connect these vast Beaufort Delta reserves with Alberta.

"There are plans to build a processing plant near Inuvik," Spiridonica said. "There will be 190 kilometres of gathering lines from the anchor fields to the processing facility and a total of 1,220 kilometres of gas pipeline from Inuvik to the Alberta border."

"As well, there will be a 457 (kilometre), 10-inch natural gas liquid line from Inuvik to Norman Wells," Spiridonica said, explaining there is already a natural gas line in Norman Wells this would connect to.

The National Energy Board has stipulated the decision to build the pipeline must be made by December 2013 and construction must begin by 2015.

"The board also directed the proponents to provide lateral pipeline to communities upon request and providing certain economic conditions so that these communities can use the valuable resource that is natural gas," She said.

These communities would be Norman Wells, Tulita and Fort Good Hope. Inuvik would already have access to the gas through the processing plant. This potentially could mean much cheaper gas prices in town. Council had few questions and thanked the GNWT for the update.

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