NEB Says Mackenzie Gas Project Still in Public Interest

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The National Energy Board (NEB) will move the sunset clauses for the Mackenzie Gas Project’s Mackenzie Valley Pipeline and Mackenzie Gathering System to Dec. 31, 2022. The extension to the sunset clause for the pipeline does not come into effect until it is approved by the federal government.

In a letter to the proponents, released June 3, the board said that the project is still in the public interest, the original conditions attached to the project will require that it be designed, constructed and operated in a way that is safe and protects the environment. The board added the extension will allow natural gas markets to recover and preserve potential future economic opportunities for Northerners.

Imperial Oil Resources Ventures Limited, applied to the board to extend the sunset clauses on Aug. 20, 2015. On Nov. 9, 2015, the Board extended the sunset clauses to Sept. 30, 2016 so the Board could consider the application. As a result of devolution, the Government of the Northwest Territories (NWT) Regulator of Oil and Gas Operations (OROGO) assumed responsibility for onshore oil and gas activities in the NWT, outside of the Inuvialuit Settlement Region, and now regulates a portion of the Mackenzie Gathering System.

The board and OROGO coordinated respective reviews and invited the public to submit comments on the requested extensions in Nov. 2015. The board received comments from 14 groups and individuals, mostly in support of the application. Four of the parties opposed the extension.

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