North

Chevron forges ahead with drill program

There will be two new wells drilled in the Mackenzie Delta region this winter by Chevron Canada and its partner BP Canada, a spokesman says.

There will be two new gas wells drilled in the Mackenzie Delta region this winter by Chevron Canada and its partner BP Canada, a spokesman says.

The companies are firming upplans to begin drilling in January, Dave Pommer told CBC News.

Drilling equipment arrived by barge at Camp Farewell in October, he said. By January, weather conditions should allow for ice road construction.

Althoughseveral Inuvialuit companies have been contracted to provide services, Pommer would not say how much the projects are estimated to cost.

The price of drilling northern wells is normally between $20 million and $30 million.

The only other well planned for theregion this winter is a research well that will lookfor natural gas hydrates.

Earlier this year, Devon announced it waspostponing its work in the area until the winter of 2007-08.

Two other companies, Encana and Anadarko, have put their Mackenzie Delta properties up for sale.

The proposed 1,250-kilometre Mackenzie Valley pipeline which would carry the region's gas to southern markets is undergoing a public review process.

The public hearings will wrap up in April.