A section of the 1,300 km Trans-Alaska pipeline connecting Prudhoe Bay, Alaska to terminals in Valdez. Industry Minister David Ramsay said the territory would welcome discussions with industry and aboriginal partners surrounding an NWT pipeline connecting the south and potential NWT resources to Prudhoe Bay to take advantage of excess capacity in the Alaskan pipeline. - photo courtesy Luca Galuzzi via Wikimedia Commons |
A new gateway
NWT oil pipeline discussed at pan-national meeting
Walter Strong
Northern News Services
Published Monday, July 28, 2014
NORTHWEST TERRITORIES
The GNWT would welcome a discussion between aboriginal and industrial partners to consider a pipeline connecting petroleum resources in southern Canada - as well as potential NWT resources - to the Trans-Alaska pipeline.
This was part of the message Industry Minister David Ramsay brought to participants in the 24th annual summit of the Pacific Northwest Economic Region (PNWER) in Whistler, B.C., last week.
"A lot of people want to talk about pipelines, energy, and the development of resources and stranded resources."
"In the NWT, we have a precedent that was set with the Aboriginal Pipeline Group (APG) with the Mackenzie Valley Pipeline Project; they were set to own one-third of that project. In talking to some of the proponents of the APG, there's a prospect they may switch their focus from gas to oil, and look at an ownership model similar to the Mackenzie Gas Project."
"The precedent of aboriginal ownership of a pipeline is something that other jurisdictions in Canada would be envious of," added Ramsay.
With support from Inuvialuit, the Gwich'in and the Sahtu, the APG had a one-third ownership interest in the now indefinitely stalled Mackenzie Valley gas project.
Although the project has National Energy Board approval to proceed, the consensus in industry is that the market for natural gas is stuffed with relatively inexpensive product, eliminating the project's economic viability.
But the Aboriginal Pipeline Group itself, at least as far as its spokesperson is concerned, remains committed to the Mackenzie Valley Gas project.
"We still have options open to us for the gas pipeline," APG chairman Fred Carmichael told News/North.
"That was our mandate and our priority."
"We still feel there's a possibility that we could be building the Mackenzie Valley Pipeline."
Citing the need to first discuss an oil pipeline proposal with board member, shareholders and community members, Carmichael said he couldn't comment on the APG's willingness to entertain a separate oil pipeline project.
But he did point out that the legal and social licence behind the Mackenzie Valley Gas project would not necessarily carry over to an oil pipeline proposal.
"That's a brand new game," said Carmichael.
"You couldn't use the old authority to build a gas line and take it to build an oil pipeline."
It's not the first time Ramsay has broached the idea of a Northern pipeline, but it is the first time he broached the idea as PNWER president.
This meeting in Whistler marked the official beginning of Ramsay's term as president, after his presidency was announced earlier this year.
Ramsay said he would use his one year term as president of the organization that includes the NWT, the Yukon, Alberta, Saskatchewan, Alaska, Idaho, Oregon, Montana, and Washington to promote the North, Arctic development, and the participation of aboriginal government and business in the organization.
"It's a great opportunity for us to tell the story of what's happening in the NWT and the Arctic," said Ramsay.
"Developing the Arctic is very important to other jurisdictions from an economic standpoint."
The NWT joined PNWER in 2009. This is the first time an NWT representative was elected as president.
Ramsay said that talks were underway to bring a PNWER associated conference to Yellowknife in the fall of 2015 of as many as 250 participants.
