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Providing coverage of Alaska and northern Canada's oil and gas industry
July 2005

Vol. 10, No. 31 Week of July 31, 2005

Alaska contracts for gas campaign; Mac deals look good so far

With contract talks proceeding between the state of Alaska and the North Slope producers for fiscal terms for a natural gas pipeline, preparations are beginning for the task of explaining that contract to the state’s residents.

The contract and a best interest finding will be issued, and the governor’s office is looking for a firm to handle the education campaign. Letters of interest are due July 29.

A July 25 public notice said the state is looking for “firms interested in providing a short-term, immediate educational public awareness statewide campaign to educate Alaska residents on the terms and conditions of the North Slope natural gas contract, with the campaign “estimated” to begin in August and “expected to conclude within four months.”

The governor’s office is looking for an Alaska firm and the project would require a full-time staff including a senior level account supervisor, media relations specialist, copywriter, art director, media buyer and scheduler.

The firm must have the ability to sign a confidentiality agreement and “may not have a current relationship with a company in negotiations with the state on the gas pipeline or with a company who is seeking to acquire North Slope gas,” the state said.

Experience in statewide multi-media public policy campaigns is required.

The firm selected must be able to begin work in August to develop an education/awareness campaign and will design and produce all communication tools — including print, radio and TV ads; brochures; electronic presentations; media relations plan; and a statewide speakers bureau.

There will be hearings on a proposed contract and public comments will be taken. Based on those comments, the state may renegotiate.

A final contract will go to the Alaska Legislature for an up or down vote, expected in a special session later this year.

So far, so good for Mackenzie deals

It’s one thing to talk of a new highwater mark for the Mackenzie Gas Project and another to wait for the backwash.

For decades the dream of exploiting Canada’s Arctic natural gas has been a litany of hopes raised, hopes dashed.

But the latest chance for optimists to be — well, optimistic — is holding firm.

The response to a flurry of pivotal developments in mid-July has largely been low-key, which is exactly what the proponents might have hoped for.

Governments, community groups and aboriginal leaders have, with few exceptions, accepted the deals that saw the Deh Cho First Nations drop their lawsuits and the Canadian government offer C$500 million over 10 years to the Northwest Territories government and aboriginals along the pipeline route.

How well those pacts hold together is key to keeping the project on track for a start of regulatory hearings this year and possibly achieving a 2010 start-up of operations.

Publicly declared opposition to the federal allocation to meet social and economic needs stemming from the pipeline has been confined to some social groups.

Barbara Saunders, executive director of the NWT Status of Women Council, said she could not accept that the money would be allocated in return for support of the pipeline — a condition she did “not want to believe is true.”

Other social organizations are less than enthused about the linkage of socio-economic handouts and the pipeline, arguing the money was needed regardless of the C$7 billion project because of rising drug and alcohol problems, education and health needs.

A spokesman for federal Deputy Prime Minister Anne McLellan agreed that the problems exist regardless of the pipeline, but the government is concerned to prepare now for any negative impacts from the pipeline.

He said Ottawa wants to strike a balance between what is needed now and what will be needed once the pipeline is operating.

Editor’s note: Oil Patch Insider is written by Gary Park and Kay Cashman. News tips can be emailed to [email protected].






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