Our offshore has significant geological diversity spread over 1.8 million km2 – making offshore Newfoundland and Labrador 1.5 times larger than the bustling oil and gas region of the U.S. Gulf of Mexico.
New basins have been mapped. Play types that have never been seen before are being imaged. We have identified over 20 basins throughout our vast geographic area.
The basin responsible for creating our province’s oil and gas industry is the Jeanne d’Arc Basin off the Grand Banks. Development opportunities have led to a skilled workforce of dedicated Newfoundlanders and Labradorians. It has also created a network of local businesses and innovators who remain the foundation on which our industry will continue to grow.
Following decades of success in the Jeanne d’Arc Basin, in 2018 attention shifted to slope and deepwater areas. The Bay du Nord Project will open a new frontier basin – the Flemish Pass. The opening of this new basis represents an evolution in our industry as it will be the first remote, deepwater project in offshore Newfoundland and Labrador.
OilCo is focused on environmentally responsible and sustainable growth and development of Newfoundland and Labrador’s oil and gas resources.
We are responsible for the management of existing participating interests on behalf of our legacy company Nalcor Energy-Oil and Gas. These participating interests offshore NL include Hebron (4.9%), Hibernia Southern Extension (8.7%), and the White Rose Extension project (5%).
Since 2017 these investments have been self-sustaining, with all capital and operating expenses fully covered through revenue generated from those assets. Since 2018, these equity investments have paid nearly $500 million in dividends.
In 2018, we finalized a framework agreement with the Government of Newfoundland and Labrador, Equinor, and Husky Energy for the Bay du Nord Project. This agreement provides OilCo with the option to purchase a 10% participating interest in the project.
Click to learn more about each project.