ARCHIVED - 2012-2013 Arctic Islands of Nunavut Call for Nominations

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Date of launch: February 25, 2013
Closing date: 4 p.m. (EDT) on April 24, 2013

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Call for Nominations

Calls for Nominations, although not required by law, are generally issued for periods ranging from one to three months. This gives industry the opportunity to identify blocks of land it would like to see posted for bidding. All nominations received through this process are given full consideration for inclusion in a succeeding Call for Bids.

Uniquely this year, the Minister also gives advance notice of his intent to include the Bent Horn lands in a Call for Bids for a Significant Discovery Licence.

Arctic Islands of Nunavut

Most northerly of Canada's exploration regions, the Arctic Islands of Nunavut overlie one of Canada's largest petroliferous basins: the Sverdrup Basin. Exploration activity occurring mainly in the 1970s was extensive but sparsely distributed across this huge region. Nevertheless, the 164 wells drilled discovered gas and oil resources of over 14 trillion cubic feet and 300 million barrels. Of 16 fields discovered, two are major gas fields with discovered resources estimated at 9 trillion cubic feet. These are two of the largest undeveloped gas fields in Canada. These calls are for Crown lands falling within part of the Nunavut Settlement Area, as defined by the Nunavut Land Claim Agreement.

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1. Submission of Nominations

For inclusion in a Call for Bids for Exploration Licences

The Minister of Indian Affairs and Northern Development hereby calls for the submission of nominations on Frontier Lands, as defined in the Canada Petroleum Resources Act, located in Arctic Islands of Nunavut. A map is included.

Nominations received will configure parcels that could be included in a Call for Bids for Exploration Licences.

Interested parties are highly encouraged to read the Proposed 2012-2013 Call for Bids for Exploration Licences in the Arctic Islands of Nunavut prior to nominating lands.

The exercise of petroleum rights is subject to specific terms and conditions relating to the environment and must comply with requirements under land claims as well as for northern benefits. Such information is contained in the Proposed 2012-2013 Call for Bids for Exploration Licences and within the terms of the Exploration Licence.

(a) Content of Posting Requests

All posting requests must be described in accordance with the attached Guidelines for Parcels North of Latitude 60° N. Each tract posted shall comprise laterally or diagonally contiguous blocks.

Parcel Size

The maximum size of any posting request between latitude 75° N and latitude 78° N is eight (8) grids.

The block size north of latitude 78° N should not exceed 216,080 hectares in area (which is equivalent to eight (8) grids at 75° N).

A Posting Request Form and should accompany the request.

(b) Submission of Posting Requests

Posting requests must be received by April 24, 2013 at 4 p.m. (EDT), to be considered by the Minister for inclusion in a Call for Bids for Exploration Licences (tentatively scheduled for May 2013) pursuant to section 14 of the Canada Petroleum Resources Act.

All requests must be submitted by fax and addressed as follows:

2012-2013 Arctic Islands of Nunavut Call for Nominations
Closing date: April 24, 2013 at 4 p.m. (EDT)

Attention: Northern Petroleum Resources Directorate
Northern Petroleum and Mineral Resources Branch
Facsimile: 819-953-5828

Requesters are advised to give prior notice of their intent to submit a fax by calling 819-997-0048 or 819-953-2087 immediately prior to transmission. Telephone confirmation will be provided, if requested, upon receipt of the fax.

Only the fax copy is necessary; original copies are not required.

All submissions received will become property of the Crown and will not be returned. All information concerning nominations will remain confidential.

(c) Priority of Posting

Priority of posting will be determined by order of receipt. Time of receipt will be that recorded by the fax machine of the Northern Petroleum Resources Directorate (formerly Northern Oil and Gas Branch) in Gatineau, Quebec.

In case of overlapping requests, the first to be received will have priority. The second requester will be informed of the area remaining in the request which does not overlap a prior nomination. The second requester will be required to state whether they would like to maintain their posting on the remaining lands or withdraw the request.

(d) Resulting Call for Bids

Any individual or company which requests the posting of a parcel(s) is expected to submit a bid(s) in an ensuing Call for Bids for Exploration Licences. Requesters are advised to examine the proposed Call for Bids for Exploration Licences and terms and conditions of an Exploration Licence. The Minister reserves the right to refuse future posting requests by that individual or company should a bid not be submitted.

The Minister will take into account all nominations in developing a Call for Bids but may modify nominations to configure a bid block following consultation with the nominee.

The Minister is not obliged to proceed with a Call for Bids for any lands posted.

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2. Advance Notice : Bent Horn Lands

Bent Horn lands included in a future Call for Bids for a Significant Discovery Licence

In addition to the invitation to nominate lands as described in section "1. Submission of Nominations", above, the Minister of Indian Affairs and Northern Development also hereby gives advance notice of his intent to include the Bent Horn lands, located on Cameron Island, Nunavut, in a Call for Bids for a Significant Discovery Licence. The Bent Horn lands are described below. A map is included.

Bent Horn Lands

Latitude* Longitude* Section(s)
76° 30' N 103° 30' W 71-72
76° 30' N 104° 00' W 1-2
*North American Datum 1927 (NAD27)

Interested parties are highly encouraged to read the Proposed 2012-2013 Call for Bids for a Significant Discovery Licence in the Arctic Islands of Nunavut.

The exercise of petroleum rights is subject to specific terms and conditions relating to the environment, and must comply with requirements under land claims as well as for northern benefits. Such information is contained in the Proposed 2012-2013 Call for Bids for a Significant Discovery Licence in the Arctic Islands of Nunavut.

Bent Horn Lands

The Bent Horn oil field was discovered in the 1970s and produced a total of 4.5x105 m3 or 2.8 million barrels between 1985 and 1996. The field was abandoned before being depleted. The reservoir is in the Devonian Blue Fiord Formation, a reefal limestone and is located in thrust fault slices in the upper part of an isolated, reef-rimmed carbonate bank. The Bent Horn oil was produced from partially opened fractures within the limestone, representing porosities between 1 and 3%. The oil produced from this field is a waxy light crude (43° API).

The fractured nature of the reservoir and the complex structure of the field challenged the original development of this resource and estimation of recoverable oil. Seismic reprocessing of data to enhance imaging, improved understanding of the geology as well as new drilling and reservoir stimulation techniques warrant the re-examination of this field.

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Further Information and Contacts

For more information on this call, the rights issuance process or the resource management regime, please contact:

Rights Administration
Northern Petroleum Resources Directorate
Northern Petroleum and Mineral Resources Branch
Aboriginal Affairs and Northern Development Canada
10 Wellington
Gatineau, Quebec
Postal Address: OTTAWA ON K1A 0H4
Tel: 819-953-2087; Fax: 819-953-5828
Rights@aandc.gc.ca
www.aandc.gc.ca/nth/og/index-eng.asp

Any geological and well information with respect to the lands or area may be obtained from:

Regulatory Data Analyst
Operations Business unit
National Energy Board
444 Seventh Avenue SW
CALGARY AB T2P 0X8
Tel: 403-292-4800; Fax: 403-292-5876
FIO@neb-one.gc.ca
www.neb-one.gc.ca

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Map of the Call Area

Annexes

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