((Automated translation by Reuters, please see disclaimer https://bit.ly/rtrsauto)) by Nia Williams
Imperial Oil IMO.TO’s application to extend the life of its isolated Norman Wells oil and gas facilities in Canada’s Northwest Territories has been put on hold pending an environmental assessment report, said Tuesday the Canadian energy regulator.
The Norman Wells site produces approximately 6,500 barrels of oil equivalent per day (boepd) and is spread across nine natural and man-made islands in the Mackenzie River – Canada’s longest river – and the town of Norman Wells on the shore.
Imperial, majority-owned by Exxon Mobil Corp
However, the regional Indigenous government, the Sahtu Secretariat Incorporated (SSI), decided in September that the application required an environmental assessment because Imperial was also proposing to replace the pipelines between its wells and the facility. treatment.
The environmental assessment will be conducted by the Mackenzie Valley Environmental Impact Review Board, and the regulator said it will extend Imperial’s permit in the meantime.
“This will allow the Norman Wells facility to continue to operate while the Review Board’s environmental assessment process takes place,” CER said in a statement posted on social media.
An Imperial spokeswoman said the Calgary-based company is reviewing the latest update and evaluating next steps.
In a letter to the CER in September, the SSI raised concerns about the impact of climate change on Norman Wells’ operations and the Enbridge ENB.TO pipeline that transports oil to the Alberta.
Charles McNeely, president of the SSI, said thawing permafrost in the Far North region raised questions about the stability of oil and gas infrastructure, while the Mackenzie River suffered unprecedented scouring of its bed, threatening the numerous pipelines of the Norman Wells operation.
“Today, in an increasingly environmentally sensitive region, is it reasonable to accept any degree of risk from an aging oil field that in 2021 will provide less than 1% of daily production of conventional light crude from Canada? Wrote Mr. McNeely.
