Benefits of Keeping Norman Wells Producing Oil (EOR)
Background
In January 2026 Imperial Oil announced the closure of the Norman Wells facility by Q3 2026, after 100 years of operations. BNP has submitted an offer to purchase the facility, which is currently not for sale. IOL is working to drain the facilities to a "make safe" mode, suitable to commence the shutdown & abandonment work. The site will be disconnected from Enbridge Line 21 and all closure paperwork will be filed with the regulators. We are working to consult with the Sahtu Secretariat Inc. (SSI) to get their advice and guidance on working together to reactivate the project. This would require a joint venture with the SSI, and preparation of environmental assessments to reactivate the facility.
If the SSI choose to be involved with this project, the following are a number of steps required for the process to proceed:
1. Set up a joint venture company.
2. Transfer of the abandonment liabilities from IOL to the new operator, with indemnification by the Government of Canada (GOC). A monthly annuity would be contributed to a self directed Trust Account that would grow to $180 million (2026 dollars), plus 2% annual inflation. This would be used to cover the cost of the abandonment of the facilities.
2. Agreement from the GOC to transfer their 32.5% interest to the new joint venture.
3. Agreement from GOC to transfer the 5% production royalty to be shared with the SSI and the Government of the NWT, the SSI solely, or the Government of the NWT solely.
4. The following is our Business Development / Benefits Plan for SSI, Residents of Norman Wells and the residents of the NWT:
- Government of Northwest Territories – Maintain use of, and value of the runway / airspace. Extend local business activity for 25 years, as new industries are developed (servicing the future gold mining industry, gas pipelines).
- A long term goal for Norman Wells residents is an all season highway, to connect with Fort Simpson, NT. Our plans are to work towards development of Norman Wells as the “Hub of the Far North”, in a similar manner as Edmonton.
- Our focus will be to start servicing the gold mining industry such as the Astro Gold Project (Evrim & Newmont-Goldcorp), located near Mile 222 of the Canol Heritage Trail. Initially we will look at fuels, camp and power generation services. Longer term we will focus on providing a natural gas pipeline to the gold mine, where power will be generated locally. We will also work with the developers to staff and service the mine from the Norman Wells area. The local Mile 222 Airstrip can be used to shuttle workers to Norman Wells, where flights can be arranged throughout Canada. This is a long term 10-20 year plan.
- Planning for the roads will take place as the mine resources are developed and we will work with local governments towards planning and building the all season road from Fort Simpson to Norman Wells, and from Norman Wells to Mile 222 on the Canol Trail, which is the approximate location of the future Northwest Territories based mine. This will create a new logistics supply route to enable the mine to be serviced more cost effectively from the Northwest Territories. Improving the mine economics will lead to a longer term and prosperous industry.
- Town of Norman Wells – The Town of Norman Wells would continue to be an active municipality for the next 25 years, rather than slowing down. Maintains value of local homes, rental property and services such as the Esso gas station. Work with the community towards developing Norman Wells as the “Hub of the Far North”, as discussed above. Lease out the current housing stock owned by IOL and unoccupied to support affordable housing.
- Staff at Norman Wells – Extending the life of the facility for 25 years. Continued employment at the site. Grow and diversify from oil and gas production towards gold mining, and gas transmission pipelines.
- Contractors at Norman Wells – Stabilize economic activity for the next 25 years. Develop new clients in the gold mining industry.
- Wholesale Fuel Business at Norman Wells – Grow fuel sales to service the new mines. Increase aviation fuel sales as Norman Wells becomes a mining service centre..
- BNP Resources – Implement an EOR project locally in Norman Wells, NT.
Manufacturing and New Industry Development Programs
Enhanced Oil Recovery - Norman Wells Pilot Plant
We will be using "Flue Gas Injection" for the enhanced oil recovery program. The portable unit will allow injection of "flue gasses" into the water injection wellbore for testing. This will be developed with the assistance of local EOR Engineering Firms based in Edmonton, Calgary and Yellowknife.
Micro Refining Unit for Norman Wells
We will be working with local Engineering Firms based in Edmonton to develop a micro refining unit for Norman Wells, with a nameplate capacity of 1,000 - 5,000 barrels per day. This will produce mainly diesel and fuel oil, which will reduce imports into the region. Operators would be shared between the refinery and upstream facilities.
Natural Gas Growth Opportunities
As mines develop near Norman Wells, opportunities will exist for power generation using natural gas at the mine sites.
Gold Mining Opportunities
The Canol Heritage Trail near the NWT and Yukon border offers exceptional opportunities for future gold mines near Norman Wells infrastructure.
Micro LNG Development
We will be working with local Engineering Firms based in Edmonton, Calgary and Yellowknife, to develop a micro LNG facility for Norman Wells.. This will convert dry gas into LNG for use throughout the Yukon and Northwest Territories.
Company Business Development Plans for 2026
1. Working towards saving the Norman Wells oil field from permanent closure.
2. BNP proposes to extend the life of the water flood project by replacing the pipe between the island and the processing facility.
2. BNP has proposed an enhanced oil recovery project estimated to recover an additional 40 MM barrels of oil, over 25 years at a cost of $12.50 per barrel. Total capital cost of project is estimated at $500 MM.
3. Work towards making Norman Wells the "Hub of the Far North" through servicing the new gold mining industry near mile 222 of the Canol Trail.
4. Work with the GOC to transfer ownership of their 5% GOR oil royalty..
5. Develop local curling and hockey talent in Norman Wells though tournaments and sponsorship.
6. Through growth in mine services, we will work towards promoting an all weather road from Fort Simpson to Norman Wells, and onward to mile 222 of the Canol Trail and the Yukon Border (The MacKenzie Gold Trend). Note: The GOC has announced a new road to Norman Wells.
7. Plan on setting up a Norman Wells gas utility with natural gas service to each household.
8. Set up a Norman Wells Starlink service for each household receiving a new natural gas service. Billed monthly with your natural gas invoice. Local in town service & support by the gas company. Ease of hook-up and billing.
9. Once the new road is in service, we plan on setting up a car rental agency in Norman Wells with Toyota Land Cruisers equipped with snow tires. This allows residents more freedom of mobility on the new all season roads, and is also intended to service the mining industry at the NWT/Yukon border..
10. Apply for a federal grant to clean up the Canol Trail and upgrade the Canol airstrip near mile 222.
11. Set up a small airline to shuttle exploration teams from Norman Wells to the Canol airstrip at mile 222. This takes us closer to the goal of making Norman Wells the Hub of the Far North.
12. Midstream - Add a rack to accept oil production from remote wells for access to the pipeline. This service will include water separation and disposal.
13. Develop an oil exploration program in the NWT to discover new oil pools, that can utilize the surplus pipeline capacity.
Stakeholder Events
National Indigenous Peoples Day - Sunday June 21, 2026