2015-10-13
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With rising prices for oil and natural gas, coupled with declining North American production, the motivation to find new opportunities for oil and gas exploration and development off Canada's east and west coasts is high.
Opportunities for Canada's offshore oil and gas industry have been gathering momentum in recent months. Although both coasts have faced similar territorial disputes, concerns about potential environmental damage, and use conflicts with other ocean industries, the growth of the industry has differed sharply from one coast to the other.
The east coast industry is well developed following a number of significant discoveries since the mid-1960s and early 1970s.The west coast is absent of activity as a result of the federal and provincial moratorium on exploration and development.
Significant development in recent months suggest that Canada's offshore oil and gas industry could he hitting full stride on the east coast and possibly starting operations on the west coast within the next few years. Provincial and federal governments in both regions are working to resolve many of the regulatory, economic, and other issues that have plagued past attempts to develop these resources.
Even with some of the hurdles cleared, potential investors will still need to carefully navigate the minefield of provincial and federal environmental legislation that protects fisheries and the marine environment, as well as the complex royalty agreements with governments and others, including land claims by First Nations.
This article sets out the history and potential opportunities for offshore oil and gas development on Canada's east and west coasts and examines the key environmental regulatory processes governing the industry.
