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Pipeline delays frustrate show-goers

Erika Sherk
Northern News Services
Monday, June 18, 2007

INUVIK - Despite uncertainty about the future of the Mackenzie Gas Project (MGP), attendees at the Inuvik Petroleum Show agreed the show was still a success.

A new price tag of $16.2 billion for the project, compared to the previous estimate of $7.5 billion, has cast doubt into many minds.

"The change in atmosphere (at the show) over the past four or five years is palpable," said John Pahl, general manager of Northern marketing for AkitaEqutak Drilling.

"The mood used to be a lot more optimistic."

One might think that a downswing in enthusiasm could make for a poor showing at a trade show, itself spawned out of a desire to prepare for the potential mega project.

However, numbers are similar to previous years with more than 700 participants, according to Kelly Turpin, show organizer.

Inuvik Mayor Derek Lindsay spoke of continued hope for the pipeline.

"If they are disillusioned, why are they here?" he asked.

The regulatory process is the only thing holding up the pipeline, he said.

"It has dragged out a little too long and increased the costs," he said. "That's the hurdle everyone is facing."

The regulatory process indeed was the first topic discussed during the conference part of the show.

The tally for all permits required for the gathering system and pipeline is 6,911, said Randy Ottenbreit, Imperial Oil development executive for the MGP.

Hearings for the project are also taking much longer than expected, he said.

Despite the challenges, many individuals and organizations are still going full-tilt to prepare for the pipeline.

Aurora College plans to purchase new trades training trailer, it announced at the show.

The trailer, to cost more than $2 million, will be taken throughout the North teaching pipeline-related trades such as construction and electrical work, according to Morris Evans, college president.

He made the announcement before a packed auditorium at the show.

"We need to take education to the people," he said. "We need to be much more ready to prepare people ... for the pipeline."

Another announcement was made the second day of the show. A deal was reached between the Inuvialuit Regional Corp. and MGM Energy, said corporation chairperson Nellie Cournoyea.

It involves MGM drilling three wells on Inuvialuit land in the 2007/08 winter and five the winter after that, as well as seismic work.

"I'm very pleased to have a company here with the ability to look forward and not get spooked," said Cournoyea.

Other officials were also positive about the future.

"We are positive, we are convinced that the pipeline will go ahead," said Fred Carmicheal, Gwich'in Tribal Council president.

"We will win," he said. "It will go forth."

The stirring words weren't enough to convince all delegates.

"There is no pipeline right now," said Pahl. "The way it's set up there's not a lot of incentive for it to go ahead."

His grandfather was up North in the1960s, said Pahl, and his father in the 1970s.

"Here I am," he said wryly, "and the pipeline's still just around the corner."