The lone offshore parcel available in 2007 went to Corridor Resources, Inc, the Canada-Newfoundland and Labrador Offshore Petroleum Board announced today.
The Western Star incorrectly reported that the provincial government made the announcement. CNLOPB is a joint management board of the federal and provincial governments.
The C-NLOPB accepted a bid from Corridor Resources Inc. in the amount of $1,521,000 for the parcel which is composed of 51,780 ha. The Bid represents the expenditure which the bidder commits to make in exploring the parcel during the initial 5-year period of a 9-year term exploration licence.
The provincial government merely issued a news release stating that the land sale was a positive sign and attributing positive developments to the recently released energy plan.
Horse hockey. One solitary parcel is a sign of an offshore that is suffering a serious lack of interest from developers.
We'll need to see what happens in the next few years to determine if the energy plan has had a positive effect. The energy plan won't be complete and therefore won't have an impact until both the gas royalty regime and the oil royalty regime are finalized.
Update 05 Dec: The Star has corrected the reference in the current online version.
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