Nova Scotia Issues Offshore Call for Bids
Hoping to rejuvenate exploration interest in its gas-prone offshore regions, the eastern Canadian province of Nova Scotia issued a call for bids December 10 on two industry-nominated parcels in shallow waters near Sable Island.
Bids must be received by May 8, 2019 after which the Canada-Nova Scotia Offshore Petroleum Board (C-NSOPB), the province's offshore regulator, may award exploration licences.
The parcels – one encompassing 75,788 hectares (ha), the other 73,004 ha – are located on the Scotian Shelf, within the Sable sub-basin, where 23 significant discoveries have been made, and are immediately adjacent to ten significant discoveries containing an estimated 1.3 trillion ft3 (36.8bn m3) of recoverable natural gas and 15mn barrels of recoverable crude oil. They are also adjacent to four Sable Island production licences held by ExxonMobil, which has produced more than two trillion ft3 of natural gas from its Sable Offshore Energy Project.
Winning bids will be selected on the basis of the total amount of money to be spent during the first six years of exploration on each parcel. Minimum bid is C$1mn (US$747,000).
Last month another eastern Canadian province Newfoundland announced latest offshore licensing round results.