Maritime Canada has signalled changed rules for oil companies contemplating E&P offshore Nova Scotia, including regular licensing rounds where local officials, and not oil majors, provide seismic data.
The Offshore Onshore Technology Association of Nova Scotia, or OTANS, said it supported the “preliminary” type license announced by Diana Dalton, Chair of the Canada-Nova Scotia Offshore Petroleum Board.
The new preliminary license resembles the U.K.-sector promote license, and allows access to a full exploration license. Full-priced exploration license are thus but an option.
“The initiatives announced today are definitely targeted at attracting exploration,” says Barry Clouter, OTANS Chair.
The Province will offer an online, digitial “showroom” and a five percent “allowable expense” on R&D, the costs of which can be used to offset exploration costs.
Further, oil companies will be able to extend the drilling period of an exploration license without the risk of loosing it for want of a drill rig.
ws@oilgas24.com
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