Satellite to look for N.L. offshore oil

Newfoundland and Labrador’s energy corporation is paying for an offshore mapping program that may help oil companies to identify new areas to explore.

Nalcor officials said Wednesday that it will pay for research that uses a satellite to look  for oil on the ocean’s surface.

Researchers can determine if that oil is from a spill or coming from subsea rock formations.

"By gathering a series of images through time, you will see that certain seeps appear on the surface of the ocean in the same location. So, that allows you to rule out ships and other forms of natural seepage and focus on the geologic,"  said Nalcor Vice-President Jim Keating.

He said that could help oil companies find new reserves.

"It increases your exploration odds by reducing your risk, and minimizes environmental impact by really only focusing on areas where you have some higher degree of certainty," he said.

The survey, that will cover 1.5 million square kilometers of ocean off  the coasts of Newfoundland and Labrador, is expected to be completed by spring 2011.

Exploration companies will have to pay for the survey information from Nalcor.