Oil and gas division lead says more deepwater exploration expected
Nalcor Energy’s Oil and Gas division lead Jim Keating says his team has taken more than a few questions about Newfoundland and Labrador’s offshore area since Statoil announced a third discovery in the Flemish Pass Basin.
The company announced a discovery of oil at its Bay du Nord prospect, about 500 kilometres northeast of St. John’s, on Aug. 27.
“Statoil have shown persistence and in pursuing exploration not only in Canada but elsewhere in the world through their use of technology and in particular seismic innovation and interpretation and analysis ... so Statoil is given credit to their success with that approach,” Keating said.
“We believe, also, what Statoil is done is to answer the very important question: Are there working hydrocarbon systems in our deepwater? And the answer is obviously yes,” he added.
Statoil’s news has made its way into industry-specific publications worldwide. “And we’ve, in turn of course, picked up some queries from some new companies and actually started to lever both Statoil’s success and the conclusion of our (seismic) program,” Keating said.
“So I think there’s a very good level of interest in what Newfoundland and Labrador’s deepwater is going to reveal.”
As well, in a partnership with TGS and PGS, Nalcor Energy has collected about 42,000 kilometres of seismic data for the province’s offshore area over the last few years. The Crown corporation is looking to get to 50,000 kilometres in total before an existing permit for the early exploration work runs out.
Keating said Nalcor Oil and Gas leads remain confident more exploration will happen offshore. “And we believe we’re going to be an oil province for a long time into the future,” he said.