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New partners in prosperity

Hay River Dene sign pact with southern service companies

Terry Halifax
Northern News Services

Hay River (July 09/01) - Last week, the oil and gas industry and members of the Deh Cho First Nations signed a partnership agreement that will bring 30 new jobs and secure a foothold in the oil and gas industry for the people of the Hay River Reserve.


Katlodeeche First Nation Chief Pat Martel has signed a partnership agreement with southern oilfield services companies. - Terry Halifax/NNSL photo


The Katlodeeche First Nation signed a joint partnership with oilfield service companies, IROC Systems Corp., Chinook Testing and Arnett and Burgess Oilfield Construction.

Doug Cardinal, president of the Dene Directional and Rentals and Dene Construction, acquired the abattoir property from the territorial government and the new plan includes an 8,000 square foot steel building to house the three companies.

Cardinal says the plan got its start when he was working with Dene Directional drilling in northern B.C. and in Fort Liard with then-chief Harry Deneron.

"We've been working relentlessly for a year and a half on this and things do take a little longer to do up here," Cardinal said. "We wanted to get a jump on creating a core group of individuals who have the best of what's offered in the industry."

The initiative will also offer training and employment for 30 people, Cardinal said.

"All I want to do is create an opportunity for the people that wasn't here before and will always be here," he said.

The building will be built by Rowe's Construction of Hay River will house IROC, Chinook and Arnett and Burgess' pipecraft.

The contract is worth nearly $750,000.

Dennis Featherstone and his wife started IROC Systems Corp. in 1982, during the recession that crippled the oil boom in Alberta, with a focus on service and a good product that would sustain the corporation through the harsh economy. The company offers safety alert systems to gas wells, plants and pipelines using satellite technology and stand-alone gas leak detection monitors.

Featherstone said the key to good business lies in good training, and he looks forward to the opportunity North of 60.

"The North is the future for the oil and gas industry in Canada," Featherstone said. "Alberta has been strong over the years, but as we deplete those resources, we have to look to the Northern regions."

John Roth, president and CEO of Chinook Testing Ltd., said the 18-year-old company has trained their first group of five employees at the Red Deer, Alta., office and plan to send another group down shortly. Chinook tests wells and pipe thickness with non-destructive instruments.

Arnett and Burgess are an oilfield construction firm who are training with new employees with Green Pipe, a software used to design pipelines.

Prior to the signing Chief Pat Martel spoke of how the priority is in training and education for the youth and looks forward to a strong economic future for the town of Hay River and the reserve.

"Whatever is good for the reserve is good for the town," Martel said. "We want to do great things but we need to support each other to get them done."

Deputy premier Jane Groenewegen and Hay River Mayor Duncan McNeill echoed the chief's statements, hoping this is the first of many joint ventures the two communities may undertake.

Minister of Resources, Wildlife and Economic Development Joe Handley wished the joint venture success and sees the partnership as the wave of the future for business in the North.

"This is an important beginning and I expect as time goes by, we'll start to see more and more companies like yourselves establishing themselves in the Northwest Territories," Handley said.

Later, Cardinal said the partnership will secure a strong foothold in the industry, with or without a Mackenzie Valley Pipeline, and there is renewed talk of tapping into the reserves of sweet and sour gas that were capped on the reserve in the mid-'70s. He says the band will likely drill new wells to get to the resource.

"They've started land designations and getting approval from the government," Cardinal said. "We would be looking at wells that are presently drilled or drilling new ones."