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New compressed natural gas project to bring energy security to Canada’s north

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Aerial view of the Hamlet of Tuktoyaktuk on the shores of the Beaufort Sea in the Canadian Arctic. Getty Images photo

From the Canadian Energy Centre

By Cody Ciona

‘The whole project is for the purpose of addressing the energy security issue that many northerners face’

The recent approval of the first compressed natural gas facility in the Northwest Territories is bringing energy security one step closer to remote and Indigenous communities in Canada’s north. 

The Inuvialuit Energy Security Project (IESP), owned by the Inuvialuit Regional Corp. , will be located 16 kilometres south of Tuktoyaktuk. The project, recently approved by the Canadian Energy Regulator, will convert natural gas into compressed natural gas (CNG), propane, and diesel for the Inuvialuit Settlement region. 

“The whole project is for the purpose of addressing the energy security issue that many northerners face, but particularly northerners that are at the end of a very long road,” said Inuvialuit Petroleum Corporation special advisor Kate Darling. 

The natural gas will be supplied by the Tuk M-18 well, which is also owned by the Inuvialuit, and transported to local customers for power, heat, and fuel. 

Currently, the region is serviced by the Inuvik Gas Project (natural gas from two wells at the Ikhil reservoir, 50 kilometres northwest of Inuvik), and by truck from the south in B.C. The Ikhil wells’ reserves are now critically low, which led to the push for the IESP. The Tuk M-18, however, is estimated to have more than 100 years’ worth of reserves. 

 About 200,000 people in Canada have no connection to an energy grid or natural gas distribution systems. This includes nearly 100,000 people in the northern territories. 

 In the Northwest Territories, refined petroleum products like diesel make up 74 per cent of end-use demand, brought in by trucks. In Inuvialuit’s case, that’s a 5,000-kilometre round trip including a ferry ride. In the past, Inuvialuit has faced potential operation disruption of the ferry service, which put the community in an emergency fuel situation. 

“[The IESP] could provide long-term energy to the communities in the region, as well as reducing greenhouse gas emissions, creating long-term employment,” said Duane Ningaqsiq Smith, chair of the Inuvialuit Regional Corporation. 

“It represents an Inuvialuit-led solution that takes into account the preservation of our values, advances participation in the northern and national economy, all while reducing emissions and helping preserve our local environment.” 

In addition to providing energy security for remote communities, the IESP will have a significant positive impact on emissions reduction. It is estimated it will have a net reduction of around 40,000 tonnes of emissions per year, equivalent to the yearly emissions of 9,520 cars. 

The project is also expected to support 25 full-time jobs and a further 35 full-time jobs within the local community. 

“All in all … the M-18 will really help not just the surrounding communities of Tuk, but create a lot of jobs for locals, which is very good,” said Ryan Yakeleya, a Tuktoyaktuk councillor. 

The IESP has already injected over $20 million into local businesses with over 70 Inuvialuit and Gwich’in peoples employed to date, according to the latest project update. 

“IPC is committed to developing the IESP and ensuring that as much of the economic benefit and employment opportunities are offered to Inuvialuit,” said Duane Ningaqsiq Smith, IRC Chair and CEO. 

The project is expected to begin producing and delivering gas to consumers by the end of 2025. 

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Alberta

Energy projects occupy less than three per cent of Alberta’s oil sands region, report says

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From the Canadian Energy Centre

By Will Gibson

‘Much of the habitat across the region is in good condition’

The footprint of energy development continues to occupy less than three per cent of Alberta’s oil sands region, according to a report by the Alberta Biodiversity Monitoring Institute (ABMI).

As of 2021, energy projects impacted just 2.6 per cent of the oil sands region, which encompasses about 142,000 square kilometers of boreal forest in northern Alberta, an area nearly the size of Montana.

“There’s a mistaken perception that the oil sands region is one big strip mine and that’s simply not the case,” said David Roberts, director of the institute’s science centre.

“The energy footprint is very small in total area once you zoom out to the boreal forest surrounding this development.”

Image courtesy Alberta Biodiversity Monitoring Institute

Between 2000 and 2021, the total human footprint in the oil sands region (including energy, agriculture, forestry and municipal uses) increased from 12.0 to 16.5 per cent.

At the same time, energy footprint increased from 1.4 to 2.6 per cent – all while oil sands production surged from 667,000 to 3.3 million barrels per day, according to the Alberta Energy Regulator.

The ABMI’s report is based on data from 328 monitoring sites across the Athabasca, Cold Lake and Peace River oil sands regions. Much of the region’s oil and gas development is concentrated in a 4,800-square-kilometre zone north of Fort McMurray.

“In general, the effects of energy footprint on habitat suitability at the regional scale were small…for most species because energy footprint occupies a small total area in the oil sands region,” the report says.

Researchers recorded species that were present and measured a variety of habitat characteristics.

Image courtesy Alberta Biodiversity Monitoring Institute

The status and trend of human footprint and habitat were monitored using fine-resolution imagery, light detection and ranging data as well as satellite images.

This data was used to identify relationships between human land use, habitat and population of species.

The report found that as of 2021, about 95 per cent of native aquatic and wetland habitat in the region was undisturbed while about 77 per cent of terrestrial habitat was undisturbed.

Researchers measured the intactness of the region’s 719 plant, insect and animal species at 87 per cent, which the report states “means much of the habitat across the region is in good condition.”

While the overall picture is positive, Roberts said the report highlights the need for ongoing attention to vegetation regeneration on seismic lines along with the management of impacts to species such as Woodland Caribou.

Researchers with the Alberta Biodiversity Monitoring Institute in the oil sands region of northern Alberta. Photo courtesy Alberta Biodiversity Monitoring Institute

The ABMI has partnered with Indigenous communities in the region to monitor species of cultural importance. This includes a project with the Lakeland Métis Nation on a study tracking moose occupancy around in situ oil sands operations in traditional hunting areas.

“This study combines traditional Métis insights from knowledge holders with western scientific methods for data collection and analysis,” Roberts said.

The institute also works with oil sands companies, a relationship that Roberts sees as having real value.

“When you are trying to look at the impacts of industrial operations and trends in industry, not having those people at the table means you are blind and don’t have all the information,” Roberts says.

The report was commissioned by Canada’s Oil Sands Innovation Alliance, the research arm of Pathways Alliance, a consortium of the six largest oil sands producers.

“We tried to look around when we were asked to put together this report to see if there was a template but there was nothing, at least nothing from a jurisdiction with significant oil and gas activity,” Roberts said.

“There’s a remarkable level of analysis because of how much data we were able to gather.”

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Alberta

Meet Marjorie Mallare, a young woman with a leading role at one of Canada’s largest refineries

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Marjorie Mallare at Imperial Oil’s Strathcona refinery. 

Fr0m the Canadian Energy Centre

By Cody Ciona

Mallare manages an all-female team of engineers helping keep operations smooth and safe

As the utilities and hydroprocessing technical lead for Imperial Oil’s Strathcona Refinery near Edmonton, 32-year-old Marjorie Mallare and her team help ensure operations run smoothly and safely at one of Canada’s largest industrial facilities.

The exciting part, she says, is that all four engineers she leads are female.

It’s part of the reason Mallare was named one of ten Young Women in Energy award winners for 2025.

“I hope they realize how important the work that they do is, inspiring and empowering women, connecting women and recognizing women in our industry,” she says.

“That can be very pivotal for young women, or really any young professional that is starting off their career.”

Born and raised in the Philippines, Mallare and her family moved to Edmonton near the end of junior high school.

Living in the industrial heartland of Alberta, it was hard not to see the opportunity present in the oil and gas industry.

When she started post-secondary studies at the University of Alberta in the early 2010s, the industry was booming.

“The amount of opportunities, at least when I started university, which was around 2011, was one of the high periods in our industry at the time. So, it was definitely very attractive,” Mallare says.

When choosing a discipline, engineering stood out.

“At the time, chemical engineering had the most number of females, so that was a contributing factor,” she says.

“Just looking at what’s available within the province, within the city, chemical engineering just seemed to offer a lot more opportunities, a lot more companies that I could potentially work for.”

Through work co-ops in oil and gas, her interest in a career in the industry continued to grow.

“It just kind of naturally happened. That drew my interest more and more, and it made it easier to find future opportunities,” Mallare says.

Following a work practicum with Imperial Oil and graduation, she started working with the company full time.

On the side, Mallare has also driven STEM outreach programs, encouraging young women to pursue careers in engineering.

In addition to supporting the Strathcona Refinery’s operations department, Mallare and her team work on sustainability-focused projects and reducing the refinery’s carbon footprint.

The 200,000 barrel per day facility represents about 30 per cent of Western Canada’s refining capacity.

“Eventually, our group will also be responsible for running the new renewable diesel unit that we’re planning to commission later this year,” says Mallare.

Once completed, the $720 million project will be the largest renewable diesel facility in Canada, producing more than one billion litres of biofuel annually.

Projects like these are why Mallare believes Canada will continue to be a global energy leader.

“We’re leading others already with regards to pursuing more sustainable alternatives and reducing our carbon footprints overall. That’s not something we should lose sight of.”

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