There’s big news from the Newfoundland oilpatch today as it appears our first deep-water project is on track.
Estimated reserves in Bay Du Nord in the Flemish Pass, about 300 miles off the east coast, had been around 300-million barrels but two significant discoveries last fall have changed the face of the project.
Upstream, an online publication, says the field is now estimated to contain triple that amount—one billion barrels.
The plan now calls for dozens of wells to be drilled, which translates into hundreds of jobs.
Equinor and the Government of Newfoundland and Labrador signed a development agreement three years ago.
Industry consultant Rob Strong says Bay Du Nord won’t be developed tomorrow but this bodes well for the province. He says they have the ability to respond to all the subsea development, the value of which is between $1- and $2-billion.
Stong says it’ll be up to Newfoundland companies to determine how much they can handle, but the potential for a significant surge in jobs is there.