CANADA’S OFFSHORE OIL AND NATURAL

GAS INDUSTRY IN NOVA SCOTIA

Offshore operators have been exploring for and developing resources safely
and responsibly in offshore Nova Scotia for decades, benefiting all residents
of the province. Canada’s oil and natural gas industry contributes to local
community and provincial revenues through royalty and tax payments, which
help to pay for hospitals, roads, schools and social programs. Canada’s offshore
oil and natural gas
ECONOMIC BENEFITS OF CANADA’S OIL AND NATURAL GAS INDUSTRY IN
NOVA SCOTIA industry benefits all
GOVERNMENT REVENUES: Nova Scotians.
ALMOST About $1.9 billion in offshore royalties have been paid to the


$1.9
BILLION
Government of Nova Scotia since production began in 1992
Source: CAPP/Statistics Canada

JOBS: Canada’s oil and

More than 500 people worked in the Nova Scotia offshore
industry in 2015 - 2016
natural gas industry
Source: Canada – Nova Scotia Offshore Petroleum Board is creating jobs,

opportunities for

$
SPENDING: local businesses,
Capital spending by the industry in Nova Scotia since 1995 totals
about $8.5 billion boosting
Source: CAPP/Statistics Canada
government
revenues and
LOCAL BUSINESSES: contributing to
200 supply and service companies support the industry
Source: Maritimes Energy Association local communities
in Nova Scotia.

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ACTIVITY OVERVIEW
There are two producing offshore natural gas projects in Nova Scotia: the Sable
Offshore Energy Project (operated by ExxonMobil) and Deep Panuke (operated
by Encana), both of which are nearing end-of-field life. There is currently no oil
being produced in Nova Scotia.
While there is some exploration activity taking place, exploration in deeper water
is at its infancy, pointing to the need to continue working to attract investment. In
recent years, a layering of added costs and uncertainty related to regulatory and
policy changes has impacted the competitiveness of the offshore industry. CAPP is 1

working with government and others to address these challenges. 2

SIGNIFICANT GROWTH POTENTIAL

The Government of Nova Scotia estimates Nova Scotia’s offshore resource
potential at 120 trillion cubic feet of natural gas and 8 billion barrels of oil. To put
this into context, the average home in Canada consumes about 110,000 cubic Sable Offshore
feet of natural gas per year. Energy Project 1
Source: Nova Scotia Department of Energy Start-up: December 1999
Attracting and encouraging exploration activity is key to developing a Production facility:
sustainable oil and natural gas industry in Nova Scotia and producing long-term Production Jackets
benefits for the people of the province. (production from five
separate fields)
SAFETY & ENVIRONMENTAL PROTECTION
Deep Panuke 2
The companies exploring for and producing oil and natural gas in Nova Scotia’s Start-up: 2013
offshore meet or exceed all regulatory requirements and industry best practices
Production facility: Jack-up
related to safety and environmental protection. Natural gas is the cleanest
production platform
burning fossil fuel. Used in power generation, it emits about 40 per cent of the
carbon dioxide compared to coal.
More information about safety and environmental protection in the offshore is
available at www.atlanticcanadaoffshore.ca.

Attracting and
encouraging
exploration activity
is key to developing
a sustainable oil
and natural gas
industry in Nova
Scotia.

The West Aquarius rig is part of the Scotian Basin Exploration Project, a
significant exploration program underway by BP Canada, offshore Nova Scotia.

2018-0034 CAPP.CA JULY 2018