Canadian federal and provincial regulators have said ”okay” to Calgary-based EnCana’s C$700-million Deep Panuke gas development offshore Atlantic Canada.

Halifax Premier Rodney McDonald made the announcement today at a Halifax, although EnCana itself has not yet approved the project’s cost and benefits plan, newspaper The Globe & Mail reported citing the Canadian Press.

The company has said tax changes far away in the oil province of Alberta could hit finances enough to alter “future investments”.

Last week, EnCana managers warned government that if all tax changes proposed by the Alberta Royalty Review Panel are adopted, the company might cull by 40 percent its investments in the prairie province.

ws@scandoil.com