Canada's New Brunswick Province Bans Fracking, Plans Study


PORTLAND, Maine, March 26 (Reuters) - Lawmakers in New Brunswick voted on Thursday to prohibit fracking in the eastern Canadian province, committing to study the controversial method of extracting oil and gas for one year before reconsidering the ban in 2016.

The province's Liberal-led government said it will require five conditions be met before the moratorium is lifted. These include beefed-up environmental and health regulations, a plan for waste water disposal, consultations with aboriginal groups, a royalty structure, and the establishment of a "social license," which is the approval by local communities and stakeholders.

"It is responsible and prudent to do our due diligence and get more information regarding hydraulic fracturing," said Energy and Mines Minister Donald Arseneault.

The province is the latest of several in eastern Canada, including Quebec, Labrador and Newfoundland, and Nova Scotia, to stop companies from fracking while they study its impact.

New Brunswick is believed to sit atop one of the thickest shale gas reservoirs in North America, although much of it is trapped in unconventional and hard-to-reach deposits.

Local environmental and indigenous groups worry hydraulic fracturing, or fracking, a method that involves pumping water, sand and chemicals deep into a well to extract oil or gas, could contaminate local water supplies.

Industry advocates say the technique is safe and boosting gas output will create jobs in New Brunswick, whose sluggish economy consistently ranks near the bottom of the Canadian provinces.

Questions about supply have dogged the progress of four export terminals proposed in New Brunswick and neighboring Nova Scotia, which plan to liquefy then ship North America's natural gas bounty to energy markets overseas.

"For anyone anticipating a domestic supply from New Brunswick, yeah, this is a major problem," said Michael Edwards, a New Brunswick-based energy consultant.

(Editing by Richard Valdmanis. Editing by Andre Grenon)

Copyright 2016 Thomson Reuters. Click for Restrictions.


Click on the button below to add a comment.
Post a Comment
Generated by readers, the comments included herein do not reflect the views and opinions of Rigzone. All comments are subject to editorial review. Off-topic, inappropriate or insulting comments will be removed.
Jimmy fish | Mar. 27, 2015
Once again, this shows the unfortunate general ignorance of elected/appointed politicians regarding anything remotely technical that they cant solve with a political contribution or sound-bite in front of a camera. Complete education is the only true power; not partial education based on the bias of only one side of a debate.


Our Privacy Pledge

Most Popular Articles

From the Career Center
Jobs that may interest you
Logistics Coordinator & Optimization Analyst
Expertise: Logistics Management
Location: Billings, MT
Associate Category Manager or Category Manager Job
Expertise: Logistics Management|Purchasing|Supply Chain Management
Location: Denver, CO
Contracts Advisor
Expertise: Budget / Cost Control|Contracts Engineer|Supply Chain Management
Location: San Ramon, CA
search for more jobs

Brent Crude Oil : $51.78/BBL 0.77%
Light Crude Oil : $50.85/BBL 0.83%
Natural Gas : $2.99/MMBtu 4.77%
Updated in last 24 hours