Archived - 2007-08 Beaufort Sea and Mackenzie Delta - Call for Nominations

Closing at 4 p.m. (E.T.) on January 30, 2008

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Accessibility Notice

1. Call for Nominations

The Minister of Indian Affairs and Northern Development hereby calls for the submission of nominations for Frontier Lands, as defined in the Canada Petroleum Resources Act, located in the Beaufort Sea and the Mackenzie Delta. Maps are attached for reference.

Lands currently under licence which revert to Crown reserve status during the course of this call for nominations may also be posted. Please check our website . This site will list any licence terminations.

Posting requests received at the latest on January 30, 2008, by 4 p.m., E.T. will be considered by the Minister for inclusion in a call for bids tentatively scheduled to be issued early February 2008 pursuant to Section 14 of the Canada Petroleum Resources Act.  Terms and conditions of the proposed call for bids are attached for information.

2. Content of Posting Requests

All posting requests must be described in accordance with the attached Guidelines for Posting Parcels North of Latitude 60° N.  Each tract posted shall comprise laterally or diagonally contiguous blocks.

The size of parcels posted varies according to location.  Table 1 below sets out the minimum and maximum size of parcels within each area.

A Posting Request Form is attached and should accompany the request.

TABLE 1: MINIMUM AND MAXIMUM SIZE OF PARCELS*
(Parcels straddling line "A" will have their maximum size determined by using the maximum size indicated for south of Line "A")

3. Submission of Posting Requests

All requests should be submitted by fax at the latest on January 30, 2008 by 4 p.m. E.T.  Each request should be addressed as follows:

Beaufort Sea & Mackenzie Delta Request for Posting
Closing January 30, 2008
Attention: Oil and Gas Management
Northern Oil and Gas Branch
FAX: (819) 953-5828

Requesters are advised to give prior notice of their intent to submit a fax by calling (819) 997‑0048 or (819) 934-9392 immediately prior to transmission. Telephone confirmation will be provided, if requested, upon receipt of the fax. Only the fax copy is necessary; original copies are not required.

All submissions received will become property of the Crown and will not be returned. All information concerning nominations will remain confidential.

4. Priority of Posting

Priority of posting will be determined by order of receipt. Time of receipt will be that recorded by the fax machine of the Oil and Gas Management Directorate in Gatineau.

In case of overlapping requests, the first to be received will have priority.  The second requester will be informed of the area remaining in the request which does not overlap a prior nomination. The second requester will be required to state whether they would like to maintain their posting on the remaining lands or withdraw the request.

5. Specific considerations

5.1 Area subject to environmental considerations

Operators wishing to carry out activities as a result of this process will be required to comply with all federal environmental requirements defined in the Inuvialuit Land Claims Agreement as well as those stemming from the Canadian Environmental Assessment Act, the Canada Oil and Gas Operations Act, the Territorial Lands Act, the Arctic Waters Pollution Prevention Act, and other applicable legislation.

The shaded area on the attached map has been identified by the Inuvialuit and other wildlife specialists as being of particular importance, and is intended to alert potential nominators that this area may be subject to additional regulatory terms and conditions. 

Following an extensive aerial reconnaissance in 2006, the territorial Department of Environment and Natural Resources recently concluded that there are significant declines in the Cape Bathurst and Bluenose‑West caribou herds. Operators should be aware that oil and gas activity in the range of both the Cape Bathurst and the Bluenose‑West herds may be subject to restrictions when caribou migrate into the project area.

In addition, the entire onshore of the call area is grizzly bear habitat. The Committee on the Status of Endangered Wildlife in Canada (COSEWIC) has recommended that grizzly bears be listed as "vulnerable" under the Federal Species at Risk Act. Additional mitigative measures may be required at the activity stage. Potential operators should contact the Department of Environment and Natural Resources in Inuvik (Marsha Branigan, Manager Wildlife Management)  for further information at (867) 777‑7310.

Fisheries and Oceans has proposed the Tarium Niryutait Marine Protected Area (MPA) for the Beaufort Sea, offshore of the Mackanzie Delta. The proposed MPA consists of 3 areas, Imaryuk (Shallow Bay), Okeevik (east Mackenzie Bay near Kendall and Pelly Islands) and Kittigaryuit (Kugmallit Bay). Industry is encouraged to consult with Fisheries and Oceans prior to any proposed work activities in the onshore/offshore that could impact marine habitat, by contacting the Habitat Biologist in Inuvik at (867) 777‑7500.

Also, some offshore areas could be a migratory route for whales and be considered sensitive. For example, the work season may be restricted to those months when the proposed type of activity will not have a significant environmental impact on sensitive fish and mammal habitats, birds or other species and there may be conditions relating to drilling fluids and waste discharges.

Site specific environmental protection plans may be required by the proponent prior to the commencement of activity. These plans would describe the necessary procedures the operator would take to minimize any environmental impacts to sensitive fish and mammal habitats, birds or other species in the region.

5.2 Area subject to work prohibition orders

As in the past, part of the west Beaufort Sea continues to be subject to work prohibition orders. All tracts nominated in this area shall be subject to the same terms and conditions as tracts nominated in the adjacent offshore area.  However, should an Exploration Licence be issued in this area as a result of a Call for Bids, an Order, made pursuant to section 12 of the Canada Petroleum Resources Act, would be issued to prohibit any activity in the area together with a commensurate suspension of the requirements of the Exploration Licence [Note 1].

Nothing in this Call for Nominations shall affect or prejudice in any manner Canada's position with respect to the nature or extent of jurisdiction or sovereign rights over maritime areas in the Beaufort Sea.

6. Resulting Call for Bids

The individual or company that requested the posting of a parcel(s) is also expected to submit a bid(s) in the Call for Bids. The Minister reserves the right to refuse future posting requests by that individual or company if a bid is not submitted.

The Minister is not obliged to proceed with a Call for Bids for any lands posted.

Footnotes:

1. Canada Petroleum Resources Act, s.s.12.

   (1) The Governor in Council may, in the case of (a) a disagreement with any government concerning the location of an international boundary,
   (b) an environmental or social problem of a serious nature, or
   (c) dangerous or extreme weather conditions affecting the health or safety of people or the safety of equipment, by order, prohibit any interest owner specified in the order from commencing or continuing any work or activity on the frontier lands or any portion thereof that are subject to the interest of that interest owner.

   (2)Where, by reason of an order made under subsection (1), any requirement in relation to an interest cannot be complied with while the order is in force, compliance with the requirement is suspended until the order is revoked.

   (3)Notwithstanding any other provision in this Act, the term of an interest that is subject to an order under subsection (1) and the period provided for compliance with any requirement in relation to the interest are extended for a period equal to the period that the order is in force.

   (4)Nothing in this section affects the authority of the Minister to relieve a person from any requirement in relation to an interest or under this Act or the regulations.

   (return to source paragraph)