Energy, Mines, and Resources

Mackenzie Gas Project

The Mackenzie Gas Project (MGP) would begin at Inuvik, NWT, follow the Mackenzie Valley, and connect with existing gas pipeline systems in northwestern Alberta.

  • The length of the pipeline would be approximately 1,220 kilometres.
  • Pipe would be 30 inches in diameter.
  • Pipeline capacity would initially be 1.2 billion cubic feet per day.

The construction and operation of the MGP is expected to generate up to 181,000 person years (Wright/Mansell) of employment within the NWT, Yukon and Canada over a 24-year period, and pump billions of dollars into the Canadian, NWT and Yukon economies. An updated version of the original Wright/Mansell report is also available.

Mackenzie Gas Pipeline

Status

  • The Government of Yukon actively promoted Yukon's interests in the Mackenzie Gas Project through intervention in the National Energy Board hearings and the Joint Review Panel hearings.
  • The Yukon government intervened in the National Energy Board (NEB) hearings to seek appropriate terms and conditions that facilitate the fair and economical connection of north Yukon gas to the main pipeline. Final arguments are expected to be held once the Joint Review Panel (JRP) concludes its process.
  • The Yukon government intervened in the Joint Review Panel hearings to maximize benefits to Yukoners (i.e. employment, training and business opportunities) while mitigating potential impacts on community wellness, Yukon highways and wildlife. The JRP hearings concluded last fall and a final report to the NEB is expected in late 2009.
  • YG has obtained a 'letter of commitment' from Imperial Oil addressing our key socio-economic and biophysical interests. This letter has been filed with the JRP and is part of the public record.
  • Once the NEB concludes the MGP hearings process, it will submit a final report and recommendations to the federal Minister. It is anticipated that a decision to proceed with the project, if approved, will occur in late 2009.

The proponents - Imperial Oil, Shell Canada, ConocoPhillips, ExxonMobil and the Aboriginal Pipeline Group - completed their feasibility study in 2003. The project definition phase is currently underway.

The proponents have submitted their preliminary information package to the National Energy Board and in October 2004 filed their regulatory applications for approvals to the Joint Review Panel (JRP) and the National Energy Board (NEB).

Currently, the JRP and the NEB are conducting coordinated public hearings  105 KB. In 2007 the JRP will submit its report to the federal government, which will then make a decision on the JRP report. Later in 2007, the NEB will reconvene and render a decision on the project. Yukon is actively participating in both regulatory processes (JRP and NEB) to ensure the Yukon's interests are met.

Benefits

There are potential significant benefits to the Yukon:

  • The pipeline would help us ensure Yukon's gas reserves in the northern basins are not stranded.
  • Employment and business opportunities for Yukoners
  • Employment for Yukoners in service, transportation, natural gas exploration and other areas.

Information

For detailed information on the Mackenzie Gas Project, visit the following websites: