Terry Halifax
Northern News Services

Yellowknife (Nov 08/02) - Oil and gas executives from across the country met in Inuvik last week to discuss issues associated with the construction of a proposed Mackenzie Valley pipeline.

The Canadian Association of Petroleum Producers held a two-day meeting with interested parties last week at the Eskimo Inn to communicate shared concerns over streamlining regulation, scheduling, safety and environmental and social issues.

Ian Scott, general manager, federal and regulatory, Northern Canada and pipeline operations with CAPP, said producers have been working to standardize safety throughout the industry.

"In the oil industry, safety is paramount," Scott said. "There is still work that needs to be done, but this is a very positive step."

"CAPP has put a lot of emphasis on safety practices in the last couple of years."

He said they've been working with contractors, regulators and the Inuvialuit on industry safety standards through a project called Safety Health and Respect to Environment (SHARE).

The project has two goals: safety and environmental commitment that Scott said will help producers improve safety and environmental stewardship, but also increase productivity.

"Companies can use this information to see how well they are performing, but it's also a continual improvement program to make sure that industry is acting in a responsible manner," Scott said.

Archie Kennedy, one of CAPP's board of governors and also vice president of Operations for ConocoPhillips Canada said there was concern from contractors about the ups and downs in the industry.

"Understanding how everybody can cope with both the increase in work that's coming and also in the fact that it doesn't come smoothly; it comes in fits and starts," Kennedy said. "The capacity is something we are all trying to wrestle with."

Scott said that the industry is evolving to work towards effective solutions to ease the impact of the proposed mega-project.

"I'm not sure that we have all the solutions, but at least if we're aware of the issues, we can hopefully help alleviate some of the issues rather than magnify them." Scott said.

While CAPP has been discussing Kyoto at almost every recent meeting they've held, the topic wasn't discussed much here last week.

"We are fully engaged it the Kyoto debate, but it was not on our agenda here," Scott said. "This is one of the few meetings we've had lately where Kyoto hasn't been raised."

"It's in the back of everyone's mind....Our problem with Kyoto is that we don't really understand the consequences of it yet," he said. "For making investment decisions, it just raises uncertainty and investors, whether it's the company or our shareholders it's just another uncertainty."