Nova Scotia to Negotiate Onshore Natural Gas Exploration with One Bidder

Nova Scotia Premier Tim Houston said his government will begin negotiations with one company interested in exploratory onshore drilling for natural gas. Houston told reporters the three other proposals received earlier this month require additional work before they can be considered.

University, which is managing the province’s onshore natural gas initiative, announced a second round of bidding on Monday. Prospective bidders have a question period from May 25 to Oct. 30 and a submission deadline of Nov. 30. The province has allocated about $24 million through the Subsurface Energy Research and Development Investment Program to provide incentives for developers.

The program also funds research on potential environmental and health effects of hydraulic fracturing.

Houston said drilling is unlikely to begin this year because companies need time to secure rigs and mobilize crews. He stated that production is more likely to start next year. The province removed a fracking moratorium last year through legislation.

Houston said resource development can occur safely when guided by scientific research and can reduce consumer exposure to global price swings. 2 billion.