Bay du Nord on hold for 3 years, Equinor announces

Nfld. & Labrador·Breaking

The province’s first deep water oil project has been shelved for three years “in the face of challenging market conditions,” according to Norwegian oil giant Equinor.

An illustration of the proposed Bay du Nord production vessel.
Equinor is shelving the Bay du Nord project off the coast of Newfoundland. (Equinor)

Canada’s first deep water oil project has been shelved for three years “in the face of challenging market conditions,” according to Norwegian oil giant Equinor.

The company sent a news release shortly after noon on Wednesday, in the midst of the Energy NL Conference and Exhibition in St. John’s.

“We will utilize this postponement to continue to actively mature Bay du Nord towards a successful development,” said Tore Løseth, head of Equinor Canada.

A spokesperson said the project has incurred “significant cost increases” in recent months, due in part to a volatile market.

More to come.

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