Article by Doug Black, Q.C., Bill Gilliland,
Alex MacWilliam, Miles Pittman, Anne Calverley, Rich Miller, John
Hurley, Cyrus Reporter, Ron Stuber and Jerry
Oil Sands News
Suncor Energy and Petro-Canada have agreed to merge in a share
exchange transaction. On completion of the merger, the combined
entity will operate corporately under the Suncor name while
maintaining the strong brand presence and customer loyalty of
Petro-Canada in refind products.
1.EnCana and ConocoPhillips have filed for
regulatory approval of a 120,000 bpd of bitumen expansion of the
Christina Lake oil sands project. The planned three new phases of
the project will raise production to 218,000 bpd of bitumen over
the next decade, using steam assisted gravity drainage
PetroBeam Inc. claims that they have developed a technology that
can be used to lower the cost of producing, pipelining and
upgrading heavy oil. It claims the technology will be useful in the
Canadian oil sands. PetroBeam believes that they can build a 10,000
bbl project for US$30 million. The technology uses high-energy
electrons as opposed to catalysts to reduce the viscosity of heavy
East Coast News
2.Canaport LNG is in the midst of constructing
a state-of-the-art LNG receiving and regassification terminal in
Saint John, New Brunswick which will be the first LNG
regassification plant in Canada, sending natural gas to both
Canadian and U.S. Markets. This project is nearing the end of the
construction phase with the first shipment expected near the end of
the 2nd quarter of this year, with commercial shipments envisioned
to begin at the start of the 3rd quarter of this year.
2.Corridor Resources announced that two more
McCully natural gas wells were drilled and cased in New Brunswick
in order to prepare for fracturing operations which are scheduled
for later on this spring.
West Coast News
3.Spectra Energy announced that it has the
support of Horn River producers for an expansion of Spectra's
pipeline system serving the Horn River shale gas region of
northeastern British Columbia. Seven producers in the region near
Fort Nelson have committed to ship 760 mcf of gas per day on a
revamped gathering and processing system. Work on the system is
expecting to begin later this year, concluding in 2012. The project
would include bringing Spectra's Fort Nelson gas-processing
plant back to full capacity, adding capacity to its current system
and boosting the size of compressors. Companies operating in the
Horn River region have reported finding trillions of cubic feet of
gas under their properties, ranking the discoveries among
Canada's largest. Other pipeline companies have also announced
projects in the region. TransCanada announced last month that Horn
River producers backed its plans for a new $340 million pipeline to
ship natural gas from the region to market.
Canadian Arctic News
4.ConocoPhillips Canada stated that it foresees
that there will be a need for both the Mackenzie Valley Pipeline
and an Alaskan pipeline at some point in the future. ConocoPhillips
holds significant gas leases on Alaska's North Slope, as well
as leases in Canada's Mackenzie delta region. ConocoPhillips
owns half of Denali, an Alaska gas pipeline company, with BP, which
is competing against TransCanada to build a pipeline from
5.Canada's Environment Minister has
expressed concern over the performance of the Joint Review Panel
that was tasked with reviewing the environmental and socioeconomic
impact of the proposed Mackenzie Valley Pipeline.
Alternative Energy News
The Canadian government is providing $140 million in federal
grant funding to eight companies committed to developing carbon
capture and storage projects in Western Canada. Each company will
receive between $3 million and $30 million depending on the project
proposal it submitted under the ecoENERGY Technology initiative.
Some of the proposed projects chosen to receive the funding include
Enhance Energy's carbon dioxide pipeline, Husky Energy's
research and development activity to develop new methods of
enhanced oil recovery, and Spectra Energy's Fort Nelson,
British Columbia exploratory project.
On the Horizon
The Alberta government announced the release of its long-term
strategy to guide development of the oil sands. The strategy,
entitled "Responsible Actions", includes plans to speed
reclamation of tailings ponds, boost refining and processing of oil
sands bitumen within Alberta, and ease the social impact of the
investments needed to further produce the resource. The strategy
pledges to balance an increased focus on environmental and social
issues while optimizing economic growth.
Doing Business in Canada: Practical Considerations for
FMC has recently updated our Doing Business in Canada
publication. The document provides a general overivew and practical
considerations on the establishment, acquisition or conduct of a
business in Canada.
Canada is a constitutional monarchy, a parliamentary democracy and a federation comprised of ten provinces and three territories. Canada's judiciary is independent of the legislative and executive branches of Government.
In Bank of Montreal v Bumper Development Corporation Ltd, 2016 ABQB 363, the Alberta Court of Queen's Bench enforced the "immediate replacement" provision in the Canadian Association of Petroleum Landmen 2007 Operating Procedure...
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