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Have workers, will train

Gwich'in important element in oil and gas development

Thorunn Howatt
Northern News Services

Inuvik (Sept 03/01) - The key ingredient to a successful venture in the Northern gas frontier could be oil and gas workers according to Gary Bennett, spokesperson for Ensign Drilling Inc.

The company joined up with The Gwich'in Development Corporation in a venture that could see it enter into the booming oil and gas drilling and servicing business on Gwich'in lands.

"We will train the Gwich'in. It's in our best interests to train beneficiaries for the work there," said Bennett, adding there is an overall shortage of oil and gas field workers.

"It's important we take advantage of any new group we can exploit."

The venture is named Gwich'in Ensign Oilfield Services Inc. and is owned 51 per cent by Gwich'in Development and 49 per cent by Ensign.

"We've started initially with a commitment to provide a drilling rig in the Gwich'in Land Settlement," said Bennett. The rig would be leased to the joint venture from Ensign's fleet of more than 300 rigs. It would travel by road via the Dempster Highway.

The Gwich'in Development Corporation is the regional development vehicle for the beneficiaries of the Gwich'in Settlement area.

News of the partnership troubled some delegates during the Gwich'in general assembly two weeks ago. They were worried about the environmental impact of oilfield development. But Tom Connors, chief executive officer for the development corporation, said a balance needs to be established allowing business and politics to be separated.

Fred Carmichael, president of the Gwich'in Tribal Council, said a strong business-focused development corporation must exist, citing the example set by the Inuvialuit. He said people ask him why Inuvialuit beneficiaries receive dividends while Gwich'in do not.

"It is the Gwich'in's first step into this and we want to do it right the first time," said Bennett.

He reported that lower gas prices combined with vacations have caused a slow down, but he remains "patiently aggressive.

"We have two or three projects in our sights. Customers are pleased there will be an alternative," he said and added, "We are working with all the major oil companies."

Bennett explained that attracting young employees who are willing to sacrifice and work away from home will be one of the roadblocks faced by the new company.

"One of the problems we have is the low population of the Gwich'in."

The Gwich'in-Ensign hasn't signed any contracts and, of course, much of the projected energy-related service work depends on a proposed pipeline to carry product out of the Delta. Bennett remains optimistic.

"No one doubts the fact there is a lot of gas up there and no one doubts there is a need for a lot of gas down south.optimistic.

"That gas is going to have to get to the south somehow."