Regulator takes away two licenses offshore Canada
Offshore safety regulator, the Canada-Newfoundland and Labrador Offshore Petroleum Board (C-NLOPB), has canceled two Exploration Licenses (ELs) 1127 and 1128, both held in full by Black Spruce Exploration, due to non-compliance with the terms and conditions of the license agreement.
C-NLOPB said on Tuesday that the owner did not meet its obligations regarding the Environmental Studies Research Fund (ESRF), a federal research program that sponsors environmental and social studies.
Furthermore, the 30-day period afforded to Black Spruce Exploration to request a hearing before the Oil and Gas Committee regarding the two ELs expired with no such request. As a result, EL 1127 and 1128 now revert to the government.
Also, C-NLOPB has amended EL 1120 to extend Period I to eight years, 364 days bringing Period I to January 14, 2019. The decision is subject to the filing of an amended Drilling Deposit and Security Deposit for this extended period. Interest holders of the license are Ptarmigan Energy and Black Spruce Exploration.
The decisions were made under the Atlantic Accord Acts that have received approvals from the federal and provincial Ministers of Natural Resources.
All three licenses are located off Newfoundland’s west coast in the Gulf of St. Lawrence.