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Gas companies meet and greet

Six trillion feet of natural gas equals a mountain of wealth

Stephan Burnett
Northern News Services

Inuvik (July 28/03) - Seven trillion cubic feet of natural gas multiplied by $5.75 per gigajoule equals a mountain of wealth creation for the North.

The seven trillion cubic feet of natural gas production is what is expected out of the Mackenzie Valley.

The gas production in the areas is comprised primarily of Imperial Oil's Taglu Field, the Parsons Lake Project, owned conjointly by ConocoPhillips, with a 75 per cent share and Exxon Mobile Canada with another 25 per cent share and the Niglintgak field, owned 100 per cent by Shell Canada.

The project at Parsons Lake is still in the developmental stages with meetings being held with community groups.

Roy Wilson, regional liaison for the Inuvialuit, said the community consultations include meetings with groups from Tuktoyaktuk, Aklavik and Fort McPherson.

"They're going to have two different pads for well sites at the north and south side of Parsons Lake and the (Conoco) engineering department is still deciding on whether to develop the south side first or to go to the north side first," said Wilson.

Contrary to popular belief, Wilson pointed out that much of the Mackenzie Valley Pipeline Project as well as the Parsons Lake tie-ins will be below ground.

Wilson said the primary concern is not the depth of the permafrost, but rather some very poor marshy ground along the route.

"So it might be easier for them to go above ground, but they're only looking at 12 kilometres and the rest will be below," said Wilson.

The gathering system for the complete line is 1,350 kilometres and the gathering system around Parsons Lake is an additional 220 kilometres.

At Parsons Lake, ConocoPhillips is looking at two main pads and possibly two to three outlying wells with 15 wells in total.

Still, Wilson cautions the project is in the developmental stage.

"After we get the input and the studies completed, we will then make our submissions, and only then, after the public hearings, will it be a go or not. It's still about 18 months from the submission," said Wilson.

Wilson's read of the communities in his area points toward a consensus.

"I can only speak for this region but I think because we've had developments and our land claim has been settled that people in this area are more open to development," said Wilson.

"At this point the real concern is the environment and wildlife, and we have a traditional knowledge team that discusses this, and we have socio-economic and environmental impact committees that deal directly with the wildlife," said Wilson.

While concerns over the environment and wildlife are being addressed, Wilson declined comment on exactly how much revenue from natural gas development will stay within local hands.

"It's hard to say, I have no answer on that one," said Wilson.