QUEBEC, Sept. 30, 2021 /CNW Telbec/ - As one of the largest holders of exploration rights in Quebec, Utica Resources wishes to comment on rumors according to which the Quebec government, within the framework of COP26, is considering the idea to prohibit the exploration and production of hydrocarbons on its territory.
We believe that banning and putting an end to natural gas production projects would represent an extremely important strategic error for Quebec. On this issue, the Quebec government should instead take inspiration from the Caisse de dpt et placement du Qubec, which announced earlier this week that it would maintain its assets in the gas industry, a crucial energy source for the energy transition and the fight against climate change.
COP26 will be held at a time when global natural gas prices are soaring and Europe is experiencing an unprecedented energy crisis that is even forcing some countries to restart coal plants. This situation is made necessary by the inability of several European countries to take advantage of strategic natural gas reserves like the one we have under our feet.
It should be remembered that one of the key objectives of Quebec's oil and gas legislation is to ensure local production of a significant part of the oil and gas resources that we currently import each year in order to meet our consumption needs. It is from this perspective, encouraged by the Government of Quebec, that hundreds of millions of dollars have been invested to prove the presence of gas and oil resources in Quebec's subsoil. These investments have notably made it possible to discover in Quebec one of the largest gas fields in North America, the Utica Shale.
The Quebec natural gas field has recoverable reserves sufficient to cover more than 100 years of Quebec's total gas demand and has a value of several hundreds of billions of dollars, as shown in the report of the Geological Survey of Canada1. We believe that the local production of this energy would respond to the same logic of strategic supply security, regional economic development and reduction of the global carbon footprint as the local production of any other consumer good, in particular agro-food production.
Replacing imported natural gas with local natural gas would in particular have positive consequences on the overall reduction of GHGs. Indeed, bringing production closer to the consumer market is a basic principle of sustainable development since it avoids emissions linked to the transport of the consumer good.
About Utica Resources
Utica Resources is a Quebec company whose mission is to participate in the energy transition currently underway by developing a diversified portfolio that includes, in addition to light oil and natural gas, renewable energy projects such as hydrogen and CO2 storage. All our projects are carried out with a view to sustainable development, optimal use of available resources, respect for host communities and maximization of local economic benefits.
SOURCE Ressources Utica