q4—2012 e onomi profile · calgary—nexen inc. announced that is has completed the previously...
TRANSCRIPT
ECONOMIC PROFILE
NORTHERN ROCKIES REGIONAL MUNICIPALITY Prophet River | Fort Nelson | Tetsa River | Toad River | Muncho Lake
2012 HIGHLIGHTS
Northern Rockies Regional Airport -
Summer 2012 sets records for airport traffic
(pages 10-11)
Labour & Population Projects based on LNG
Development Scenarios
(page 4)
2012 Tourism Update
(page 13)
Fort Nelson & Shale Gas -
In the Headlines
(page 2)
Community-Based Business Certification,
Recognizing local business as local
(page 6)
Shale Gas Capital - NRRM Community Devel-
opment & Infrastructure Planning Project
(page 8)
CONTENTS
2 | Fort Nelson Headlines & Highlights 4 | By the Numbers: Statistical Snapshot - Population - Business & Labour Growth - Real Estate - Building Permits 6 | Fort Nelson Investment Focus 7 | Shale Gas Symposium 2012 Fort Nelson & Horn River Connected 8 | Shale Gas Capital of Canada 9 | Working for Business 10 | Northern Rockies Regional Airport Focus 12 | Forestry
13 | Tourism
14 | Recreation
Q4—2012
www.NorthernRockies.ca
FORT NELSON & SHALE GAS IN THE HEADLINES
...Royal Dutch Shell & its three Asian partners have applied to export an enormous volume of natural gas from the B.C. coast, as
global attention begins to focus on the movement of Canadian energy to [Asian] markets. On Friday, Shell said it had applied to the
NEB for a license to export up to 24-M tonnes/year of natural gas. That is equivalent to 3.4-B ft3 per day, fully a quarter of Cana-
da’s entire output in 2011. Shell, which has partnered with Korea Gas Corp., Mitsubishi Corp. and PetroChina on an export termi-
nal slated for Kitimat, B.C., is asking for approval to export gas for 25 years. The partners intend to build their initial terminal to
half the capacity they are requesting, “with an option to expand the project to a total of four units or 24-M tonnes,” spokesman
David Williams said in a statement. “The application is an important milestone in the regulatory process & assures that there are
sufficient natural gas reserves in Canada to meet domestic needs & exports.” Outside of export possibilities, Canada’s natural gas
industry faces tremendous challenges. The discovery of large new supplies of natural gas in the U.S. have raised concerns that Ca-
nadian gas will, over the course of the next decade, no longer be needed south of the border. At the same time, northeastern B.C.
has proven to possess enormous gas reserves. In June, for example, Apache Corp. said it had drilled a well in the province’s far
northern Liard play that was the most prolific shale gas test in the world. Apache is leading a separate project to build an LNG ex-
port terminal in Kitimat. Shell has declined to estimate the cost of its terminal. On Friday, however, TransCanada Corp. chief exec-
utive Russ Girling pegged it at $12-B, plus a $4-B pipeline to deliver gas from the B.C. northeast. Natural gas exports offer the pos-
sibility of selling gas into international markets, where gas prices are linked to oil prices, & are much higher as a result. “Where we
are right now, frankly, we’d love to have higher gas prices, like everyone else in the industry. We need about $2.57 (at the well-
head) to make this thing effectively commercial,” Bedingfield said. “Liard is a tremendous resource, and I think certainly something
of significance & scale that will matter to Apache in the future. We should be in reasonably good shape in the event that we have a
clear path for monetization.” As for drilling plans, the pace of development at Liard will be steady and likely further refined by how
quickly the Kitimat LNG project takes shape. Globe and Mail, July 27, 2012
CALGARY—Nexen Inc. announced that is has completed the previously announced sale of a 40% interest in its north-
east British Columbia shale gas assets to a consortium led by INPEX CORP. or Japan. The total consideration for
the sale is $700M, with 50% cash and a 50%
capital carry. With the deal closed, Nexen now
holds a 60% operated interest in the joint venture
lands, which are located in the Horn River,
Cordova and Liard basins of northeast BC. The
remaining 40% is now owned by INPEX Gas BC
Ltd. which is jointly established by INPEX & JGC
Corp. World Oil News Online, August 8, 2012
CALGARY - Chevron Canada is moving to acquire a 50 per cent stake in a pro-posed liquefied natural gas (LNG) terminal near Kitimat, B.C., buying out Calga-ry-based Encana Corp. and another partner. Hoping to feed fast-growing Asian demand for reliable, clean-burning fuel, the subsidiary of U.S. energy giant Chevron Corp. will buy out Encana and a subsidiary of Houston-based EOG Resources Inc., each of which hold a 30 per cent stake in the plant and proposed Pacific Trail Pipeline. Houston-based Apache Corp., which holds the remaining 40 per cent, will increase its ownership of the plant and pipeline to 50 per cent. Chevron will also acquire a 50 per cent interest in approximately 644,000 acres of petroleum and natural gas rights in the Horn River and Liard Basins in B.C. “We gained a lot of good experience, being part of the project, but it’s not our core business. We have not done it before,” said Encana spokesperson Jay Averill. “Chevron is a company that has experience in the LNG market ... They know how to build and operate one of these, as well as negotiate contracts. So we see this as a positive and logical next step for the Kitimat LNG project.” Chevron is already a global LNG player, with several liquefied natural gas projects under development around the world. In Australia, Chevron owns a 64.14 per cent stake in the Wheatstone Project under develop- ment on the West Pilbara coast. As well, the company is developing the Gorgon project, one of the largest in the world, that will include an LNG plant on Barrow Island and a domestic gas plant in Western Australia. The company also has a 36.4 per cent interest in an LNG project in Angola.Leif Sollid, Chevron Canada spokesperson, said the Kitimat LNG project is a good fit for the company. “Chevron has a global LNG strategy to meet that projected growth in demand in Asia, which is expected to double from current demand between now and 2025,” Sollid said. “So there’s great potential, and the Kitimat project will be part of our global strate- gy.” Currently, natural gas prices in North America are at historic lows and Asian prices are more than three times higher than those in B.C. Calgary Herald, December 24, 2012
Canada's natural gas industry will rival the oilsands and gen-
erate more than a quarter of a million jobs a year for the
next two decades, says one of Canada's most influential busi-
ness think-tanks. The Conference Board of Canada pub-
lished an analysis Monday that expects Canada's natural gas
industry to add more than $1 trillion to Canada's economy
over the next 24 years and support an average of 260,000
jobs a year over that time frame. The ambitious projection
factors in all the direct investment, but also ancillary spinoffs
down the supply chain and figures all regions of the country
stand to benefit, even those provinces without any large nat-
ural gas holdings. The industry already produces $24.5 billion
a year and employs 130,000 people. That's already good
enough to make up 42 per cent of the country's energy ex-
ports, but demand is expected to double between now and
2035. The board estimates the industry is going to invest
$386 billion to keep up with demand over that time frame. If
that projection holds true, that's more than the $364 billion
worth of investment that the board says the oilsands are
going to attract over the same period. CBC News, Decem-
ber 17, 2012
CONTENTS
1 | Cover/Overview 2-3 | Fort Nelson Headlines & Highlights 4-5 | By the Numbers 6 | Fort Nelson Investment Focus 7 | Shale Gas Symposium - 2012 7 | Fort Nelson &
Horn River - Connected
8 | Natural Gas Economy 9 | NRRM—Shale Gas Capital 10 | Northern Rockies Regional Airport—Focus 12 | Forestry 13 | Tourism
15 | Recreation
FORT NELSON HIGHLIGHTS
2012 Budget Priorities
2012 included a host of projects
varying from road rehabilitations,
storm and sidewalk installations,
streetlight installations, water treat-
ment plant upgrades, reservoir
maintenance, and the start of the
construction on a new RV Sani-Dump.
The Airport saw improvements such as a
washroom retrofit (underway),
water system upgrades, and
runway rehabilitation. Recrea-
tion saw a number of enhancements including new concrete tables and benches
throughout the community trail, demonstration forest lighting improvements, and an ice
resurfacer. Community Development and Planning undertook a number of capital pro-
jects in 2012, including a community and tourism marketing review, completed the 2nd
Edition of the Northern Rockies Hiking Guide, hosted a community event to commem-
orate the 70th Anniversary of the Alaska Highway, undertook the development of a
community wildfire protection plan, hosted the 2012 Shale Gas Symposium, and com-
pleted a series of updated orthophotographs to assist in a large range of community
mapping and planning activities for the next several years to come.
Page | 3
Horn River and Liard Basin: Water Use,
Licensing, and Where We Stand
NRRM Mayor and Council share the same
concerns of all residents regarding the water
usage in our region. We want to progress
economic development, such as shale gas
extraction, in an environmentally responsible
manner using scientifically proven technologi-
cal advancements that measure & quantify
water volumes & industry accountability. We
want a sustainable economic future balanced with industrial development for the Northern
Rockies. Mayor and Council rely on scientific & technical information such as rainfall charts
or river depth data available through Environment Canada & the Oil and Gas Commission.
For example, the following river water chart respecting the Liard River water since 1942 is
available from Environment Canada’s website: here. Another quantifiable tool for statutory
decision makers is the North East Water Tool (NEWT) that ensures environmental flows in
all rivers, streams & lakes in the northeast are maintained. NEWT is a hydrology tool that
supports the decision-making process & is designed to query locations on rivers & lakes
throughout northeast BC to determine the monthly & annual runoff at that location. NEWT
is further designed to query all short-term water use approvals & all water licenses issued
pursuant to the Water Act, to measure how much water is used, such information is not
anecdotal. Further information can be obtained from the BC Oil and Gas Commission’s
website here. NRRM encourages citizens to exercise their right to obtain factual information
regarding the use of water for fracking in the [region]. From NRRM correspondence; Mayor
Bill Streeper, December 17, 2012.
...NRRM Mayor and Council share the same
concerns that all residents have regarding
the water usage in our region. We want to
progress economic development, such as
shale gas extraction, in an environmentally
responsible manner using scientifically prov-
en technological advancements that meas-
ure and quantify water volumes and industry
accountability.
Clockwise from left (green): Airport, Recreation, Community Devel-
opment & Planning, Fire Department, Subsidiary Groups, Public
Works, Town Hall. $12,060,600 subject to grant funding.
BY THE NUMBERS: STATISTICAL SNAPSHOT
CHART 3: 2012 NRRM Taxes, Per $1,000 of Assessed Value
INSIDE Fire
Prtcn. Boundary OUTSIDE Fire
Prtcn. Boundary
Inside Fort
Nelson Outside
Fort Nelson Area “A”
Area “B”
Residential $8.12 $5.87 $6.50 $4.79
Utilities $32.51 $31.24 $29.13 $29.13
Light Ind. $24.35 $23.08 $20.97 $20.97
Business $23.02 $18.01 $16.03 $12.70
Major Ind. $23.40 $23.40 $21.30 $21.30
CHART 6: NRRM Business Licenses
YEAR # of Licenses Active
2007 432
2008 448
2009 490
2010 575
2011 616
2012 573
CHART 4: Fort Nelson Real Estate2
2009 2010 2011 2012
Value $20M $29M $34M $29.2M
# of Units Sold 90 140 132 101
*Additional Notes: Half of the 40 Single Family homes in 2012 sold for less than $309,000, as well as 13 parcels of vacant land, 13 manufactured
homes in parks & 15 manufactured homes on residential lots.
CHART 1: Direct Oil & Gas Jobs Required to Develop & Operate the Shale Gas Basins
CHART 7: Fort Nelson Rental Vacancy Survey, Q4 20124
Total Units in Fort Nelson 439
Units Surveyed 350 (79.7%)
Overall Vacancy Rate of Units Surveyed
21.71%
Bchlr & 1 Bdrm Vacancy 23.24%%
Bchlr & 1 Bdrm Monthly Rent (Avg)
$612.50-$1035
2 Bedroom Vacancy 15%
2 Bdrm Monthly Rent (Avg) $850 - $2,000
3+ Bedroom Vacancy 11.39%
3+ Bedroom Monthly Rent (Avg)
$1,100 - $3,000
CHART 5: School FTE funding by Year3
Year —> ‘08/’09 ‘09/’10 ‘10/’11 ‘11/’12 ‘12/’13 projected
FTE (full-time eqv.)
852 865 861 859 871
Increase / Decrease
-5.3% +1.5% -0.5% -0.1% +1.0%
Gas Plant Construction Gas Plant Operations
Field Drilling, Completions, Operations Total
2013-2015 51 64 1,566 1,681
2016-2020 138 138 3,677 3,953
2021-2025 191 297 6,561 7,049
2026-2030 75 392 6,176 6,643
CHART 2: Growth in the NRRM Permanent Population Based on Development Scenarios1
Base Case Scenario 2 Scenario 3 Scenario 4
2013-2015 6,931 6,931 6,931 6,931
2016-2020 7,345 8,040 8,309 8,364
2021-2025 8,122 9,462 9,728 10,444
2026-2030 8,525 9,522 9,749 10,436
CONTENTS
1 | Cover/Overview 2-3 | Fort Nelson Headlines & Highlights 4-5 | By the Numbers 6 | Fort Nelson Investment Focus 7 | Shale Gas Symposium - 2012 7 | Fort Nelson &
Horn River - Connected
8 | Natural Gas Economy 9 | NRRM—Shale Gas Capital 10 | Northern Rockies Regional Airport—Focus 12 | Forestry 13 | Tourism
15 | Recreation
Page | 5
CHART 11: NRRM Building Permit Values 2008-2012
CHART 10: Current Oil and Gas Water Usage in HRB/LB6
Approved Short-Term Water Use: Q2/Q3 2012
Total Volume Withdrawn as % of
Mean Annual Runoff
Current licensed water source wells
# of wells Production to date
over lifetime
7,680 dam3 0.0000% 15 6,469 dam3
CHART 12: 2011/2012 NEBC Natural Gas Stats7
Total Approved Permits
2,891
Site Inspections Completed
5,347
Wells Drilled in BC 629
Kms Pipeline 1,171
1Development scenarios; Base Case assumes domestic demand on North American gas prices.
Scenario 2 assumes domestic market plus Kitimat LNG Project (Chevron & Apache Canada) & BC LNG
Project (Haisla Nation & LNG Partners LLG). Scenario 3 assumes domestic market plus Shell LNG
(with majority of supply from Montney Basin). Scenario 4 assumes five LNG plants (Petronas & British
Gas in addition to those above), with domestic market demand. 2Source: BC Northern Real Estate Board, 01/07/13 3Source: School District #81 4Survey includes buildings with four or more legal suites, rented for a minimum of 3 months. Survey
excludes: House Rentals, Duplexes, rooming houses, & motel units. 5Source: Email from MFLNRO Resource Specialist, 01/23/2013 6Source: OGC Quarterly Update on Short-Term Water Approvals April—Sept. 2012. 1dam3=1000m3
7Source: OGC Year End Report released July 2012; to year ending March 31, 2012
CHART 9: Forest Activity Fort Nelson District 2009/105
Oil & Gas Forestry
Appli-cations
Area (Ha)
Total Potential Revenue
Wells 20 109.3 $91,392
Pipelines 3 58.1 $48,588
Seismic 0 0 $0
Other 46 299.3 $250,206
Total 69 466.
7 $390,186
All other Tenure Holders
Appli-cations
Area (Ha)
Revenue
Total Other
34 1024 $425,415
CHART 8: Natural Gas Spot Prices (Henry Hub)
FORT NELSON INVESTMENT FOCUS
Presented during the 2012 Northern Rockies Shale Gas Symposium, Community Futures Peace Liard,
in working with Brad Caldwell of Audit Tree, presented the
Community-Based Business (CBB) Platform. The CBB Platform
was borne as a solution for hiring companies to have a system
to identify “local” contractors, the need for a system to com-
municate bid opportunities to local contractors, and the need
for metrics around
measuring local hir-
ing. An online web interface for members of the oil and gas
production sector to better meet local procurement objec-
tives by easily identifying companies who have been certi-
fied as ‘Community-Based’, the CBB Platform realizes all of
those needs and goals. Further, the system allows mem-
bers (service companies & other small businesses) to be no-
tified of suitable bid opportunities when they come availa-
ble through the system’s qualification matching abilities. To register and become certified, visit the
Community-Based Business Peace-Liard site here.
"The best part of the Community-Based
Business Platform is that we (Mayor and
Council) get to decide what being a
Fort Nelson business means. Members
of the [Horn River Basin] Producer’s
Group like it as well because then it’s
our stamp of approval, not theirs..."
Mayor Bill Streeper
Invest Northeast Portal
A new regional investment attraction website, Invest Northeast BC, reveals the high amount of eco-
nomic activity taking place in B.C.'s energy-rich northeast region. Invest Northeast BC is an interac-
tive website that showcases where the opportunities and major projects are and the best areas of
investment. Northern Development Initiative Trust has
partnered with communities throughout northeast B.C.
to develop an online portal designed to attract new in-
vestment to one of the province's fastest growing re-
gions. The portal, uniquely branded around the region's
energy exploration and development opportunities, is
the first of its kind in the northeast B.C. region.
The Portal features an interactive map identifying key
major projects and investment opportunities through-
out the region, including specific details about each
project. In addition, the website includes comprehen-
sive profiles of regional communities and relevant in-
formation to showcase northeast B.C. as a preferred
place to invest. "The investment portal is going to be
an incredible tool for investors and trade representa-
tives to use to identify the opportunities throughout
the North and in some of our driving economic sectors"
said Mayor Bill Streeper of the Northern Rockies Region-
al Municipality. "Making information widely available to
the world through the web, and highlighting projects
that are critical for businesspeople to make informed
decisions."
CONTENTS
1 | Cover/Overview 2-3 | Fort Nelson Headlines & Highlights 4-5 | By the Numbers 6 | Fort Nelson Investment Focus 7 | Shale Gas Symposium - 2012 7 | Fort Nelson &
Horn River - Connected
8 | Natural Gas Economy 9 | NRRM—Shale Gas Capital 10 | Northern Rockies Regional Airport—Focus 12 | Forestry 13 | Tourism
15 | Recreation
Page | 7
SHALE GASE SYMPOSIUM—2012 The Northern Rockies Regional Municipality
was proud to host the 2012 Shale Gas Sympo-
sium (formerly the HRB Symposium) on Sep-
tember 13, 2012. In the theme of “Making
Cents of Growth”, the Symposium hosted
speakers such as MLA Pat Pimm, OGC COO Ken Paulson, HRB Producers
Group Chair Rob Spitzer, NLC President Laurie Rancourt, Community Fu-
tures General Manager Sue Kenny, NEBC Workforce Table Chair Jeff Beale,
and industry representatives from Spectra Energy, and Geoscience BC,
among others. Chiefs from Fort Nelson First Nation and Acho Dene Koe
shared their perspectives on natural gas development in traditional terri-
tories. Presenters provided background and forecasts for the year ahead,
and reinforced the theme of training and business development during
slower economic times. The introduction of the Community-Based Busi-
ness Platform, the NEBC Workforce Skills Training Plan (released Decem-
ber 2012), and Geoscience BC’s Horn River Basin Water Monitoring Study.
FORT NELSON & HORN RIVER - CONNECTED It’s called the “Centre
Road.”
Formally supported by
Regional Council (with
conditions), initial
steps were taken to
put the partnered
$100M partner project
into motion. Split
50/50 between the
Horn River Producers
Group (HRBPG) and the
Province of BC, the
Centre Road will cre-
ate a direct connection
between existing infra-
structure (the SYD),
and the heart of activi-
ty in the Horn River
Basin. Reducing travel
by approximately 100
kms, the proposed road not only allows industry to more effectively man-
age their transportation needs, but also enhances the potential for more
of the workforce to live in Fort Nelson and work in the field, thereby ne-
gating the fly-in, fly-out model of staffing. The Province proposes reallo-
cating $50M from the SYD project commitments to construct the proposed
route.
FORT NELSON: SHALE GAS CAPITAL OF CANADA
NRRM Community Development & Infrastructure Planning Project
Signing a Memorandum of Understanding (MOU) in July 2012, the Province of BC and the NRRM
agreed on a process to develop community development and regional infrastructure planning for the
NRRM linked to the potential growth n the natural gas
resource industry. With the completion of a DRAFT
Plan in January 2013, the document will serve as a ba-
sis for negotiations around the identification of long-
term sources of revenue in addition to the NRRM’s own
sources. Initial findings of the DRAFT Plan have been
shared in Charts 1 & 2 of this Profile, on page 4. In
addition, it is estimated that relative to increases in
permanent population and resident direct employ-
ment, improvements and enhancements in support services and other infrastructure will be neces-
sary for a sustainable community. Housing requirements of approximately 700 units by the year
2020, improved services and infrastructure at the Northern Rockies Regional Aiport (including run-
way, apron, and terminal improvements or expansion),
and continued industrial and commercial expansion. Im-
proving quality of life for existing residents as well as
creating an attractive community for new residents will
mean further development of the recreational facility
and community buildings including a protective services
building and primary care facility. Upgrades to the Alas-
ka Highway Corridor through Fort Nelson, upgrades to
the regional landfill, and increased capacity of the
NRRM’s water system will also be necessary to accommo-
date growth. Capital expenditures to meet existing in-
frastructure deficiencies between 2013—2025 are loosely estimated at current values to be approxi-
mately $82.1M.
Cumulative Impact/Social Growth
Cumulative impact - environmentally, socially, & economically - continues to be a chief concern for
the NRRM as well as its partner & neighbour, Fort Nelson First Nation. With funding from the
Invest Canada - Community Initiative, the NRRM is in the process of implementing a Baseline & Tar-
geted Investment Initiative (BTII), to better address economic modeling and impact analysis as the
community continues to grow. Developed by CSCW Systems Corporation, the Socio-economic Im-
pact System will produce a net wealth balance sheet for the region, allowing the NRRM to best pri-
oritize capital projects, and reducing the duplication of reporting and data analysis.
Currently in the data gathering phase, CSCW is working hard to input the information gathered and
maintained by the NRRM, with future phases to involve building partnerships with agencies
throughout the region to collaborate on future data gathering and sharing. At day’s end, the System
should accurately paint the picture of growth and provide cues as to the programs, projects, and
initiatives most appropriate for addressing the needs of the community at any given point in time.
"The expansion of the oil and gas industry
in northeast B.C. benefits the entire prov-
ince by strengthening our economy and
creating vital jobs for B.C. families. It's
important for us to ensure that the com-
munities hosting this industry are able to
sustain the associated population growth
and demand for services."
...Minister Rich Coleman
"I appreciate that our northeastern com-
munities have unique and specific chal-
lenges. The Northern Rockies Regional
Municipality is anticipating growth in the
natural gas extraction industry, and we
are working closely with the municipality
to prepare for increased infrastructure
needs. This agreement is a commitment
to gather information about what ap-
proach would be best suited for this re-
gion."...Minister Ida Chong
CONTENTS
1 | Cover/Overview 2-3 | Fort Nelson Headlines & Highlights 4-5 | By the Numbers 6 | Fort Nelson Investment Focus 7 | Shale Gas Symposium - 2012 7 | Fort Nelson &
Horn River - Connected
8 | Natural Gas Economy 9 | NRRM—Shale Gas Capital 10 | Northern Rockies Regional Airport—Focus 12 | Forestry 13 | Tourism
15 | Recreation
WORKING FOR BUSINESS
Fort Nelson’s locally based Oil & Gas Service Sector cuts costs & delivers value
for producers. In doing so, they create permanent jobs that build the com-
munity & earn the respect of their industry peers, clients, & competitors. To
support local business development and attract new investment, the NRRM
worked jointly with Northern Development Initiatives Trust to draft an Invest-
ment-Ready Community Profile for the Northern Rockies. Containing data es-
sential to investment feasibility assessments, the Investment-Ready Profiles
are available online at www.northernrockies.ca > Business > Economic Devel-
opment > Publications & Services.
To connect production companies with the local service sector, there are a
number of initiatives:
The Fort Nelson Business Directory – online & in print –
includes all businesses with a business license in the NRRM.
Annually hosting the Fort Nelson and District Tradeshow,
the Chamber give businesses an opportunity to showcase
their products and services to the thousands that attend.
Become a Chamber Member today to stay informed about
important local and regional business issues. Email:
[email protected] or online: www.fortnelsonchamber.com
EnergyServicesBC was created to improve the connection be-
tween the local service sector & large production and con-
struction companies. Based primarily out of the Peace Re-
gion, with interim office and staff in Fort Nelson, use ESBC’s
online searchable database at www.energyservicesbc.org, or
contact them directly at [email protected]
The Horn River Producers Group continues to be an effective
organization for companies in the area to collaborate to minimize impact,
streamline their operations, and have a more positive local impact as the in-
dustry works to reduce production costs in this era of low gas prices. The HRB
Producers Group welcomed new Chair David Rushford of Quicksilver Resources
in 2012. To learn more about this innovative group, go to:
www.NorthernRockies.ca > Business > Economic Development > Horn Riv-
er Basin > Producers Group.
Community Futures Peace Liard is a community-
driven economic renewal initiative assisting the
communities of the Peace Liard and Northern Rock-
ies regions with the focus of improving the quality
of life in our region by enhancing business and en-
trepreneurial activity. Services offered include Self-Employment Benefits
Program, Business Plan support, Business Loans, and Arts & Cultural Events
Loans. Find them online at www.communityfutures.biz or email them at
[email protected] Page | 9
NORTHERN ROCKIES REGIONAL AIRPORT [CYYE]
The Northern Rockies Regional Airport is key
to the development of the region, and the
regional and provincial economies. It’s im-
portance has been highlighted over recent
years by the dramatic, sustained growth it
has experienced largely as a result of
activity in the region’s shale gas basins.
Since 2008, the NRRA has seen double-digit growth, each year, in the number of passengers travelling on
scheduled flights: From 2010 - 2011 there was close to 22% increase in scheduled passenger traffic. By Sep-
tember 2012, the NRRA hit an all-time high of over 19,000 aircraft movements, accounting for another 20%
increase over 2011. Because of the number of itinerant movements (from one airport to another), the
NRRA was ranked first nationally among all Tier 2 Airports, in a group including Grande Prairie AB, Sudbury
ON, Ottawa ON, Prince George, BC, Red Deer AB, and Fort
St. John BC. Towards the beginning of Q4 2012, flight move-
ments decreased dramatically as a result of project shut-ins
and a changes in planning on the part of the natural gas sec-
tor.
Summer 2012 was an extremely busy year for the Fort Nelson Forest District fire suppression division, with
very arid conditions and multiple large-scale forest fires in the
area. The increased air traffic including helicopters and fixed-
wing water bombers placed significant pressure on the NRRA to
maintain safe parking and movements of aircraft while maintain-
ing normal levels of passenger service. During that time, the fail-
ure of runway 08-26 added additional layers of complications as
the overall cost to repair was estimated at $950,000. As a result
of cash-positive operations and the estimated value of the NRRA
to the transportation sector in the region, Council approved the
budget to replace the collapsed culvert and repair additional pavement issues as a result. Restoration to
runway 08-26 was complete in September 2012, and was brought back into operation shortly thereafter.
Planning and engineering has been undertaken to address the infrastructure needs of the airport. Funds
raised through direct revenues will partially offset the costs
of these improvements. Other sources of financing will be re-
quired to bring projects to fruition.
Capital projects identified and underway include the signifi-
cant upgrading of washroom facilities in the terminal building
(as part of an overall terminal expansion plan), in operation in
January 2013, and a comprehensive parking plan to better
manage short and long term parking and create a revenue
model around those concepts. The BC Forest Service has a
shared interest in constructing a new air tanker base at the
"We are aggressively pursuing funding
from senior government to help us with
this essential project.”
...Mayor Bill Streeper
NRRA Projects at a Glance:
Completion of office & maintenance
building upgrades
Airport Lands Survey
Airport Land Use Plan
Comprehensive Airport Parking Pro-
gram
Environmental Assessment Plan
Administration Management Plan
Marketing Implementation including
website
CONTENTS
1 | Cover/Overview 2-3 | Fort Nelson Headlines & Highlights 4-5 | By the Numbers 6 | Fort Nelson Investment Focus 7 | Shale Gas Symposium - 2012 7 | Fort Nelson &
Horn River - Connected
8 | Natural Gas Economy 9 | NRRM—Shale Gas Capital 10 | Northern Rockies Regional Airport—Focus 12 | Forestry 13 | Tourism
15 | Recreation
Our V is ion:
“As Northeast BC’s Premier Gateway Regional Airport, we connect British
Columbia and Canada to the resilient people, rich resources and abundant
opportunities within the Northern Rockies Regional Municipality”.
Page | 11
airport, enabling them to better protect residents, workers, the forest and other
assets in the northeast. This would constitute a significant development at NRRA
and could provide synergies from which both the Province and Municipality could
benefit.
Activities remaining to be implemented from the NRRA Business Plan include the
introduction of a revised and streamlined fee schedule intended to generate an op-
erating surplus to assist in funding infrastructure def-
icits.
Projects for 2013 will include the completion of of-
fice and maintenance building upgrades (including
the remediation of asbestos), a completed lands sur-
vey in the pursuit of a Crown grant for the airport
lands, the undertaking of an airport land use plan,
the implementation of a comprehensive parking pro-
gram, small-scale airport terminal building improve-
ments, the creation of an environmental assessment
plan, and the undertaking of a business administra-
tion management plan to better track flight infor-
mation, provide for real-time sharing of flight arri-
vals and departures, and assist in managing leases
and accounts receivable.
FORESTRY: A CHANGING ECONOMIC ENVIRONMENT
Fort Nelson’s healthy & diverse forests remain a key long-term asset for our local economy. Though
major operations are currently suspended, our high quality timber basket will attract investment
when markets recover from the recession. The NRRM is confident that a small sawmill operation is
economically viable in our area within the next 5 years, & optimistic that a full-fledged forest prod-
uct cluster will re-emerge as the rest of BC wrestles with lack of timber supply as a result of the
Mountain Pine Beetle epidemic.
As Chart 7 on page 5 shows, the largest forester in the NRRM is currently the Oil
& Gas Industry. Recognizing this reality,
Regional Council has continued to support the Fort Nelson
Forestry Roundtable Committee (FNFRT), which is charged
to “work towards a more resilient, prosperous, sustainable,
& diversified forest economy in Fort Nelson…” The
Roundtable continues to lobby for increased wood utiliza-
tion, & keeps an up-to-date Potential End-Users Contact list
at www.NorthernRockies.ca. The Roundtable also facili-
tates research into new technologies, & partners with its
members to promote new ideas—such as the BCTS Oil and
Gas Timber Opportunities web
page. Local MFLNRO staff are working on a marketing plan for local tim-
ber sales, to attract investment beyond products dependant on manu-
facturing.
The pursuit of a Community Forest Tenure continues to be a back-
ground item for the Roundtable. Building on progress in 2009, the NRRM
& Fort Nelson First Nation are working towards a joint Community Forest
Tenure in the amount of 50,000m3 annually. This innovative opportunity
will not only allow the NRRM a window into the forest industry & our
vast forest resource, but may also fund key activities, amenities, &
functions of both the NRRM and Fort Nelson First Nation in the future.
The Public Advisory Group, of the Public Response for Informed Sustain-
able Management (PRISM), is still maintained jointly through support of
BCTS & Canfor. Both BCTS & Canfor are moving to a new CSA Z809-08
standard as they work to keep their operations sustainable* and their
products market-ready for when demand again picks up. *Sustainable Forest Management is the bal-
anced, concurrent
sustainability of for-
estry related eco-
logical, social, &
economic values for
a defined area over
a defined timeframe.”
“While Quicksilver’s timber utilization
initiatives have been evolving over the
past several years, at year-end 2011
Quicksilver, its stakeholders and First
Nations in the Fort Nelson, Fort Liard
and surrounding areas of NEBC have
forged relationships that now include
business commitments, educational sup-
port and environmental recycling and
protection”...CAPP on the recipient Quick-
silver Resources Inc on the 2012 Responsi-
ble Canadian Energy Chair’s Award
Rig Mats, like those used in the picture above, allow summer access to some Oil and Gas sites. Local wood products such as these may seed the resurgence of the Forest Industry in Fort Nelson.
Local aspen, birch, & spruce logs, are
sawed into timbers (right) at Trans North
Timber, located at Muskwa Heights, in Fort
Nelson.
High Value Aspen, like the deck shown left, are common in Fort Nelson’s northern Boreal Forest.
CONTENTS
1 | Cover/Overview 2-3 | Fort Nelson Headlines & Highlights 4-5 | By the Numbers 6 | Fort Nelson Investment Focus 7 | Shale Gas Symposium - 2012 7 | Fort Nelson &
Horn River - Connected
8 | Natural Gas Economy 9 | NRRM—Shale Gas Capital 10 | Northern Rockies Regional Airport—Focus 12 | Forestry 13 | Tourism
15 | Recreation
TOURISM: ADVENTURE AT ITS PEAK!
The opportunities in the Tourism sector in Fort Nel-
son & the Northern Rockies are
endless. With the Muskwa-
Kechika 6.5 M hectare wilderness
in our back-yard, the world fa-
mous Liard River Hotsprings a day
trip from Fort Nelson, & the his-
toric Alaska Highway attracting over 300,000 tour-
ists every year, we anticipate growth in many are-
as. A key infrastructural building block to grow the
Tourism Industry was completed in 2009/2010 with
Toad River becoming the first Remote Community to
receive BC Hydro supplied electricity. Affordable &
dependable electricity, a basic provision in most
centres, is now available to entrepreneurs right in
the heart of the Northern Rockies and the Muskwa-
Kechika. .
Having welcomed over 200 travellers & approximate-
ly 1,000 community members on August 28, 2012 to
celebrate the 70th Anniversary of the Alaska Highway
and the Military Vehicle Preservation Association
Convoy, Fort Nelson shared some of
its Northern hospitality and enjoyed
the business of those who made the
6,000 km journey from Dawson Creek
to Fairbanks and back.
The NRRM and the Chamber of Com-
merce extend a warm welcome to
both visitors and residents to come
see us at our new location, within the
Recreation Complex. 400m2 of floor
space, public access computers with internet, reading areas, and an extensive
collection of local art pieces showcase all that the region has to offer.
Taking part in a Community
Tourism Foundations (CTF)
planning exercise, stakeholders,
local tourism leaders, and staff
took part discussing the unique
assets and opportunities found
here, in the “true north”. To
learn more about the viability
of Tourism in the NRRM, stay
tuned for the CTF Final Report,
due January 2013.
Receive your free Northern Rockies Travel Guide, available in PDF or Flipbook style online
at: TourismNorthernRockies.ca
www.TourismNorthernRockies.ca
Page | 13 Northern Rockies Visitor Centre
Photo credit Chris Gale Northern Photography
FORT NELSON RECREATION
Recreation Facilities
For more information , go to www.NorthernRockies.ca & select Parks, Recreation, & Leisure
under the Residents tab.
Recreation Centre
5500 Alaska Highway
Fort Nelson BC
Ph: (250) 774-2541
The Recreation Centre is a
full-service complex offer-
ing dual arenas, curling
rink, skaters lobby, com-
munity hall, concession
and fitness & meeting
rooms.
Aquatic Centre
5301 Simpson Trail. Ph: (250) 774-6464
The Aquatic Centre includes a 25-metre swimming pool equipped
with a diving board, two slides, whirlpool and sauna. Schedule in-
cludes general swims, swimming lessons, water sports, special
events, rentals, birthday parties and training. It is also home to the
Fort Nelson Finns Swim Club.
Parks, Trails, Playgrounds, & Playing Fields
Regional Parks
The NRRM operates two Regional Parks, Andy Bailey and Tetsa River, adding to the many
Provincial Parks in the area. Visit www.TourismNorthernRockies.ca, for a full description of
campsites and other tourism amenities. Find Tetsa River Regional Park in
the BC Approved Accommodation Guide 2012 & 2013.
Art Fraser Memorial Park, the most popular Park in Fort Nelson, includes ball diamonds, basketball & tennis courts, picnic tables, & a new playground .
The Rotary Spray Park, new in 2010, is a popular destination for locals & tourists alike. The Demonstration
Forest’s 15km of trails are full of in-terpretive signage & are great for walking or skiing.
The Community Walking Trail loops around Fort Nelson and features 4.7 kms of paved trail.
CONTENTS
1 | Cover/Overview 2-3 | Fort Nelson Headlines & Highlights 4-5 | By the Numbers 6 | Fort Nelson Investment Focus 7 | Shale Gas Symposium - 2012 7 | Fort Nelson &
Horn River - Connected
8 | Natural Gas Economy 9 | NRRM—Shale Gas Capital 10 | Northern Rockies Regional Airport—Focus 12 | Forestry 13 | Tourism
15 | Recreation
FORT NELSON RECREATION
Recreation Programming
Offering programs for children, youth, adults, fami-lies, and seniors, ranging from Arts & Culture,
Sport, Dance, Fitness, and Aquatics, the Recreation De-partment offers seasonal registration for varying interests. In addition to regular programming, the Recreation Department also hosts a variety of annual events in-cluding Spookerama, the Annual Christmas Tree Lightup, Skate with San-ta, and more throughout
the various seasons.
Program registration is available online by going
to Residents > Parks, Recreation & Leisure >
Programs & Online Registration, as well as in-
person at the Recreation Centre, or by telephone at (250) 774-2541. In
addition, the Recreation Department offers a Leisure Access Program for
residents with limited incomes. Application forms are available by following
the same path above.
Finally, the NRRM is proud to be a
KidSport BC community. KidSport is
a sport funding program that pro-
vides grants for children ages 6-18
to participate in organized sport.
Releasing quarterly editions of the
Recreation Flyer (available online &
as an insert in the Fort Nelson News),
ensures that the community is well
informed about the activities & pro-
grams available to them. Find the
most current at Residents > Parks,
Recreation, &
Leisure.
For those long winters, try taking your
children to visit the indoor playground
located at J.S. Clarke! Contact School
District 81 for more info. Page | 15
“Fort Nelson needs shale gas development, and industry needs Fort Nelson. Come join us and experience a growing and vibrant community, econ-
omy, and region.” - Mayor Bill Streeper
WELCOME TO WHERE YOUR FUTURE BEGINS
Northern Rockies Regional Municipality
Town Square, 5319 – 50 Ave. South, Bag 399 Fort Nelson, British Columbia, Canada V0C 1R0
Tel: (250) 774-2541 | Fax: (250) 774-6794 Email: [email protected]
www.NorthernRockies.ca | www.TourismNorthernRockies.ca
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READY FOR YOU
“The last cou-ple of years have been a bit more chal-lenging than what we have been used to in the past, but we are starting to see that change. It's important for the residents
of Fort Nelson to support the businesses of Fort Nelson, that's what drives retail. Overall, I think the future will bring great things to our community, and I look forward to it."
- Kim Eglinski, Regional Councillor, Owner, Boondocks
Boondocks Gifts & Decor
FORT NELSON REVIEWS “Our family moved to Fort Nelson just over a year ago, and we love it. I have never experienced a town with so much charm, and of all the cities & towns we’ve lived, Fort Nelson has the truest sense of community. It’s a fantastic place to live, work, and raise a family.” - Brock Johnson, Fort Nelson Resident “I have lived in Fort Nelson for over 33 years and raised two children in this Community. The abun-dance of concerned and involved community mem-bers ensures a great quality of life is maintained for all to enjoy. Fort Nelsonites are resilient..we get things done!” - Laurie Dolan, NLC Campus Administrator & Fort Nelson resident “I have lived in Fort Nelson for 23 years, my husband for over 40 years, & our children were born here. We all love it here & enjoy what Fort Nelson has to of-fer. It is a small community with a big heart. There are tons of recreation activities, indoors & out, & during all the seasons. So much to do for families & community events that bring the community togeth-er for the greater good. Fort Nelson is a wonderful place to call & make your home. - Carla Peace, Fort
Nelson resident “My partner and I are really glad we moved to Fort Nel-son. We are both just starting out in our careers (I’m in local government and he does videog-raphy) and our ex-periences in this community have been amazing. Eve-ryone is super friendly and sup-portive!” - Jaclyn Casler, 3 month resident
Northern Rockies Shale Gas Capital of Canada