Shale Study Finds Opportunities for NB
June 9, 2013 | 0 Comments
(Fredericton, NB) A study by Deloitte, delivered to Future NB and the New Brunswick Business Council has identified opportunities for NB companies to participate in the shale gas development supply chain.
Members of the New Brunswick Business Council have been learning about shale gas development for nearly two years. “During this time there hasn’t been clear information about the opportunity for businesses in New Brunswick, should the industry move ahead,” said Francis McGuire, chair of the NB Business Council and Future NB steering committee chair. “We wanted to improve our own understanding, and share it with New Brunswickers to help advance our collective knowledge on this important subject.”
After 4 months of work that included industry interviews, surveying, analysis and significant leveraging of Deloitte’s expertise from Calgary and the United States, the findings were presented in late May. In summary:
1. Interesting opportunities exist for NB business to participate in the shale gas development supply chain.
2. The estimated development opportunity is $13 million per well, with 206 people required to develop one well.
3. Industries with strong opportunities include equipment rental, transportation, professional services (such as environmental approvals, surveying, permitting, etc), casing, cementation, and pipeline installation.
4. NB companies should consider preparing their businesses with certifications, understanding of the contracting process, relationship development and experience as this is a highly competitive, global supply chain.
5. Industry, government and our post-secondary institutions should come together to evaluate the significant workforce implications of this industry's development.
“I was encouraged to see that there are clear opportunities for New Brunswick businesses in the shale gas supply chain,” said Andrea Feunekes, Chair of Future NB. “It’s also helpful to learn that while some NB businesses have started planning for this industry’s development, most businesses surveyed have not yet taken steps to learn about it.”
Susan Holt, CEO of the Business Council, says that’s where her organization can help. “If there are industry associations and business groups interested in learning more about the study’s findings, we’d love to meet with them. ”
Serge Doucet, President of Future NB adds “Even if shale gas development timelines are a moving target, supply chain plans need to start now for businesses to be ready to capitalize on the opportunities.”
We look forward to sharing Deloitte's work with everyone interested.
We will also be holding a public webinar on Thursday, June 13th at 11:30am AST to go through the report's findings.
After registering, you will receive a confirmation email containing information about joining the webinar.