This is an excellent summary of the major events in the oil and gas industry in Canada.
2018 was a rollercoaster year for the Canadian oil and gas industry. Below is a summary of our top trends and transactions for 2018:
Trans Mountain Acquisition by the Federal Government
With the cancellation of Northern Gateway and Energy East, and continued uncertainty around Keystone XL, the industry turned to the expansion of the Trans Mountain pipeline as its best hope to establish access to tidewater for the growing Canadian oil production.
Trans Mountain was a lightning rod in the Lower Mainland, inspiring pro- and anti-pipeline protests and strong statements from First Nations both supporting and opposing the expansion. In the face of heavy BC Government opposition, the project proponent, Kinder Morgan, announced that it would cease work on the project; prompting the Government of Canada to step in and acquire the entire Trans Mountain project for $4.5 billion.
In an unexpected twist, a day before the closing of the acquisition the Federal Court of Appeal overturned the National Energy Board (“NEB”) approval of the project, and required that additional work be undertaken with respect to First Nations consultation and marine effects of the proposed expansion. The NEB is required to complete its reconsideration process and issue its new resulting report no later than February 22, 2019. MORE