Business of Energy - October 2020

OF ENERGY

OCTOBER 2020

THE BENEFITS OF ENERGY

CHIEF MEL GRANDJAMB ON THE PRESENT AND FUTURE OF THE FORT MCKAY FIRST NATION

OF ENERGY VOL 2, ISSUE 3 | OCTOBER 2020

PUBLISHERS

Alberta’s Oil And Gas Recovery Is Well Underway

by David Yager

Cover: The Benefits of Energy

by Melanie Darbyshire

04 07 11 15

Profile: TNT Engineering Ltd. FEBRUARY 2019

by Renaay Craats The Perils of Unintended Consequences and Energy Divestment

by Cody Battershill

Pat Ottmann & Tim Ottmann

EDITOR

Melanie Darbyshire

COPY EDITORS Lisa Johnston

ART DIRECTOR

Jessi Evetts jessi@businessincalgary.com

COVER PHOTO Crystal Mercredi

ADMINISTRATION

Courtney Lovgren Courtney@businessincalgary.com

ACCOUNTING

Nancy Bielecki nancy@businessincalgary.com

THIS ISSUE’S CONTRIBUTORS Melanie Darbyshire David Yager Renaay Craats Cody Battershill

ADVERTISING SALES

Evelyn Dehner evelyn@businessincalgary.com Kylie Caetano kylie@businessincalgary.com Chris Miller chris@businessincalgary.com

EDITORIAL, ADVERTISING & ADMINISTRATIVE OFFICES 1025, 101 6th Ave. SW Calgary, AB T2P 3P4 Tel: 403.264.3270 | Fax: 403.264.3276 Email: info@businessincalgary.com The publisher does not assume any responsibility for the contents of any advertisement, and all representations of warranties made in such advertising are those of the advertiser and not of the publisher. No portion of this publication may be reproduced, in all or in part, without the written permission of the publisher. Canadian publications mail sales product agreement No. 41126516.

COVER 2 • Business of Energy • October 2020

WWW.BUSINESSINCALGARY.COM Return undeliverable Canadian addresses to circulation dept.

1025 101 6th Ave. SW Calgary, AB T2P 3P4 info@businessincalgary.com

Liftboss is proud to introduce another first in the construction industry, JCB’s compact, tracked backhoe loader. The 1CXT provides superior maneuverability, an optional handheld tool auxiliary, as well as a universal quick hitch that is compatible with most skid steer attachments. The machine is equipped with a 49 hp engine that requires no aftertreatment. iftboss Inc. was established in May 2006 by adding JCB construction equipment in 2017 has been Lessfour than six feet wide 7-feet-6 other backhoe loader willmore fit. partners John and and Andre Gagnon,tall; Daleput it to awork great where addition,no and has made Liftboss Inc. even

L

Beatty and Marc Tougas to be a one stop shop visible in the heavy equipment industry in Alberta. dealership for all material handling needs. Having They will always stay true to their material handling worked in the industry before, the four partners, roots, but having an established and well respected Give us a call for more info or to arrange a demo. pooled all there resources, previous experience construction line has solidified the fact that Liftboss together and designed a new business model to fill Inc. is here for the long haul and ready to compete. the much needed niche that the industry needed.

Liftboss Inc. is an Alberta owned and operated Whether you are looking for a new machine, a rental, dealership, offering new and used equipment sales, service or parts on an existing unit, or simply want a total parts department, forklift rentals, forklift a second option on something, give them a call and training, trained and certified mechanics to perform they will be happy to point you in the right direction. repairs in shop and service vehicles to handle on site As a group, Liftboss Inc. do what they do based repairs. Liftboss Inc. prides it’s self on quick response on four core values: do what you say you will in a time to customer’s breakdowns. timely manner; be open and honest; do whatever it takes; and service the customer above all else. As Customer service was the reason the company each department grows, each team member is held was born, and has captured an impressive share accountable to those principles, their focus of business for Liftboss. In the past 3 years, the is to be a quality company that people downturn in the Alberta economy has definitely are proud to work for. affected the sales activity, but comparatively the service and parts business has noticed substantial growth. The sales team builds portfolios for each client’s needs and service preferences; this way, they can have a conversation with a client instead Introducing the future of construction equipment. of simply walking them around the The new JCB Hydradig is the world’s first wheeled excavator and showroom. Their clients appreciate tool carrier designed for purpose and built without compromise. the attention and reward them with Travel to—and around—work sites faster than ever, maneuver into repeat business and referrals.

tight spaces with greater safety, and apply the right attachments

Material handling and forklifts werewhere and continue to be they’re needed. a huge part of what Liftboss Inc. has grown from, but

Contact Liftboss JCB for more information.

EDMONTON BRANCH 7912 Yellowhead Trail Edmonton, AB (780) 474-9900

CALGARY BRANCH 8010 40 Street SE Calgary, AB (403) 301-0041

LiftbossJCB.com

David Yager | Alberta’s Oil And Gas Recovery Is Well Underway

ALBERTA’S OIL AND GAS RECOVERY IS WELL UNDERWAY

by David Yager

T

he old saying goes, “No news is good news.” It should say, “Good news is no news.” Because bad news makes catchier headlines, grabs eyeballs and attracts readers.

In 2020 filling empty paper and screens with bad news has been easy. Since the COVID-19 disaster began early this year, the onslaught has been relentless. Alberta’s prospects appear awful to worse. Layoffs. Reduced investment. Business closures. Bankruptcies.

Massive deficits.

Further, the “cancel culture” has chosen this particular moment to rewrite history and demand human behavior modifications. This is unsettling given the economic challenges.

As a result, too many have missed the fact that oil prices have staged a significant recovery since the dark days of March and April. And natural gas prices are unaffected and are substantially higher than in the past two years.

This means is Alberta’s oil and gas recovery is underway. Things will get better before they get worse. Here’s some data. Decide for yourself.

Postmedia carried a story in late August highlighting the remarkable recovery in global oil demand since April, the largest growth in

crude consumption in the shortest period of time in history. People are driving again in the U.S. Economies are opening up in Asia and Europe, also increasing demand for transportation fuel.

Regardless, the headline for an otherwise positive story was negative. “Crude consumption rebounds from April lows despite concerns about peak oil demand – But a full recovery would be contingent on how quickly a vaccine could be developed.”

This headline is curiously qualified. Since March we’ve been told that fossil fuels are in irreversible decline, renewables rule, and there is no chance for oil demand to recover without a COVID vaccine. Fossil fuel opponents have gleefully declared the end of the oil era.

But the actual data did not support the official narrative.

Since April there has been record growth in global oil demand which is now almost at 90% of the all-time record high of 100 million reached in late 2019. A study by consultancy IHS Markit indicated that by the end of 2020 consumption would be in the range of 92 million to 95 million b/d, almost a complete recovery. Without a vaccine.

4 • Business of Energy • October 2020

The website reported global COVID-19 related deaths at about 840,000. This is the statistic everyone talks about, but it is about two per cent of total mortalities from all causes.

This is congruent with data from Washington DC’s Energy Information Administration (EIA) which figures the world will enter 2021 consuming 97 million b/d and will back at 2019 levels by next summer. The EIA doesn’t know if and when a vaccine will be developed, nor does is factor such variables into its forecasts.

Oil’s pricing outlook is positive. Because of the drop in spending and drilling worldwide and high decline rates (U.S production from shale oil areas is estimated to fall by at least 3 million b/d this year) - and a steady hand on supply management for OPEC+ - EIA data shows demand outstripping supply at the end of June. This will cause continued inventory reductions. More analysts are becoming very bullish on crude prices.

How can this be? Because there are 7.8 billion people in the world that all the tall foreheads speak for, all the advice dispensers speak to, but nobody speaks with.

Here’s some statistics you’ll rarely see reproduced anywhere. According to website worldmeter.com, August ended with over 7.8 billion fellow earthlings. Since 2020 began, more than 93 million people had been born, nearly 40 million died, and the net gain in population exceeded 54 million. That’s almost 50 per cent more than the total population of Canada.

The website reported global COVID-19 related deaths at about 840,000. This is the statistic everyone talks about, but it is about two per cent of total mortalities from all causes.

After eight months of 2020, the planet had 54 million more future fossil fuel consumers than when the year began. Big number. Because outside of the few totally isolated tribes of Indigenous people living in the dense jungles of South America or Southeast Asia, everybody on earth buys an oil, natural gas or coal product of some sort, even it is only plastic.

Every day 7.8 billion people get up and make their basic decisions about staying alive. Food.

Clothing. Shelter. Medicine. Transportation. Communications. The overwhelming majority will not read any of the headlines that dominate our media or seek more dire warnings about the end of life on earth as we know it from David Suzuki or Elizabeth May. They will buy the cheapest energy and food they can find. Right now the fuel comes from oil and the food is probably packaged or shipped in plastic. Notice that crusades to ban plastics have gone silent.

That is why oil demand and prices are recovering, trends that will continue. With stable production coming from Alberta’s oil sands, our province will participate through both rising volume and prices.

Another piece of great news everybody is too busy being discouraged or terrified to notice is the price of natural gas which is significantly higher than a year ago. In fact, 2020 gas prices are the best since 2017.

5 • Business of Energy • October 2020

Alberta’s Oil And Gas Recovery Is Well Underway

“

Alberta’s Oil And Gas Recovery Is Well Underway | David Yager

David Yager | Alberta’s Oil And Gas Recovery Is Well Underway

When the UCP formed government in April of 2019, Premier Jason Kenney created a separate ministry for natural gas. One of the big problems in recent years has been the transportation infrastructure between the main source of new supplies in the northwest and the legacy gas storage reservoirs in the southeast. The original Nova gas gathering system was overloaded during the summer when it operated at reduced capacity for maintenance and repairs.

When pipeline capacity was reduced, Nova bumped the “spot” gas destined for storage in the southeast but continued to ship the contracted gas. This collapsed spot prices for AECO gas going south and east and what is called Westcoast Station 2 gas in BC headed south and west. Producers didn’t shut it in because it was a by-product of the more valuable liquids and petroleum.

The Alberta Reference Price for natural gas for the four months from June to September 2019 averaged only $0.75 per Gigajoule (GJ). When gas powered the province this used four to 10 dollars. For the same period in 2018 the price average only $0.97/GJ. A year ago the province and producers convinced TC Energy (Nova’s owner) and the Canadian Energy Regulator (formerly the National Energy Board) to review Nova’s tolling mechanism. At the same time TC Energy continued to invest in increased gas transmission capacity from Alberta’s northwest to southeast.

When the tolling was changed last fall, gas spiked and has stayed at much higher levels ever since.

The spot price for AECO gas on August 26 was $2.60/GJ, $2.26 higher than the same day a year ago. The price at Westcoast Station B in BC was also about $2.60/GJ, $2.07 more than in 2019.

In recent years gas has been the rump of an industry dominated by oil. But in 2020, yesterday’s zero is today’s hero. The Alberta Reference price for June was $1.65/GJ, three times the 2019 price. For July the average price was $1.77 and August close to $1.90. These are both more than double 2019’s levels.

ARC Energy Research Institute estimates that the average price for gas this year will be $2/GJ for AECO. That is 17 per cent higher than in 2019 and 37 per cent higher than 2018. The fact that drilling

of new wells this year is awful is well known.

What you have to hunt for to learn is that number of actives drilling rigs in BC in August was higher than same period a year ago. Why? Thank gas.

Futures prices are also strong. The spot price for September 2021 delivery in late August was $2.50/GJ. Only a month ago it was $2.10 and a year ago it was only $1.60.

Only the trade press carried the story that U.S natural gas consumption for electricity generation reached an all-time record level in July because 103 former coal-fired generating plants switched to this cleaner fuel or were replaced by gas-fueled generators.

Or that Californians endured electricity blackouts because the renewables so many adore couldn’t handle the demand. So the state promised to add more gas-powered generation as backup.

This is all good news you won’t see often unless you work in or are associated with the oil and gas industry and know where to find it.

Lost in the relentless onslaught of relentless negative media is that construction continues for the Trans Mountain oil pipeline expansion to the lower mainland of BC and the Pacific Coastal Gaslink natural gas pipeline to the LNG Canada facility and terminal at Kitimat.

The main media coverage for these projects in recent months has not been their promising contributions to future prosperity, but whether or not continued operations were reckless breeding grounds for COVID-19 spreading and contamination.

No matter what you’ve read, what you’ve heard or what you’ve been told, rumors of the impending demise of fossil fuels are greatly exaggerated.

That’s because 7.8 billion people want a better life and, unless prohibited, will make rational decisions to secure the highest quality necessities of survival at the lowest possible cost.

This bodes very well for Alberta.

B O E

David Yager is an oil service executive, oil and gas writer, energy policy analyst and author of From Miracle to Menace – Alberta, A Carbon Story. He lives in Calgary.

6 • Business of Energy • October 2020

The Benefits of Energy | Melanie Darbyshire

Chief Mel Grandjamb.

Photo by Crystal Mercredi.

THE BENEFITS OF ENERGY

CHIEF MEL GRANDJAMB ON THE PRESENT AND FUTURE OF THE FORT MCKAY FIRST NATION

A

by Melanie Darbyshire

s one of Canada’s wealthiest First Nations, the Fort McKay First Nation (FMFN) derives much of its prosperity from involvement in and partnerships with the energy industry. Its location - 60 kilometres north of Fort McMurray, along the banks of the

Athabasca River - sets it squarely in oilsands territory and FMFN has, since the1970s, been a keen participant in the sector.

Today, 11 FMFN owned companies generate 65 per cent of the nation’s yearly income ($47.9

7 • Business of Energy • October 2020

“

Melanie Darbyshire | The Benefits of Energy

“Every company in the area is involved in the community,” Grandjamb continues.

“They participate in treaty days and different events. As much as we know there is disruption to the land, we have to ensure positive working relationships.”

million in 2018/19), providing critical programs and services to its 840 members. These companies produce in excess of $200 million annually in salary and wages and over $70 million in taxes, CPP and EI to the federal government.

Beginning in 1986 with a single janitorial contract, the Fort McKay Group of Companies (FMGOC) and Nation owned businesses have evolved over time and now span a range of sectors, predominantly in or associated with the energy industry. They serve corporate clients in northeastern Alberta in the oilsands, pipeline, forestry and public sectors.

“Our members reap the rewards of positive industry growth,” FMFN Chief Mel Grandjamb says proudly. “We provide business per capita distributions to every member, including minors (in trust). This is after we’ve reinvested back into programming and infrastructure for the community.” These distributions accumulate such that members regularly receive $100,000 cash when they turn 18. “When the youth turn 18 they are required to take a fiscal responsibility course,” Grandjamb adds.

the form of long-term sustainability agreements.

“We’ve benefited over $150 million in the last 10 years,” Grandjamb explains. “And we’ve secured funding for the next 40 to 50 years. These are from sound, sustainable agreements negotiated between our Nation and the oilsands players which address environmental, health, safety and socioeconomic impacts.”

“Every company in the area is involved in the community,” he continues. “They participate in treaty days and different events. As much as we know there is disruption to the land, we have to ensure positive working relationships.”

The land has been home to FMFN since 1820, and coincides with the placement of the Hudson Bay Company (HBC) trading post in the area.

The community was named after Dr. William Morrison MacKay, Alberta’s first resident doctor and first President of the Northern Alberta Medical Association, in 1912. FMFN is signatory to Treaty 8 and also has reserves 174A at Gardiner (Moose) Lake and 174B at Namur (Buffalo) Lake, approximately 65 kilometres northwest of FMFN.

Grandjamb, who is also FMFN Fire Chief, grew up on the Nation. Prior to becoming Chief he gained 30 years’ construction and industry experience and a designation in Building Construction Engineering Technology and Project Management from NAIT. He has held roles within FMFN, with Frog Lake First Nation and at Syncrude Canada.

“Our people were a nomadic people, following the game,” Grandjamb explains. “After the HBC trading post was established, we got into the fur trade. Then in the 1970s the exploration for oil began. The fur trade was declining and so the community decided to partake in the oilsands.

It was a bold move, because we were changing lifestyles. But Fort McKay learned to be adaptive and grew up very fast in the 1970s and 1980s.”

He highlights the good relationships FMFN enjoys with industry players like Syncrude, in

Today, there are four separate companies under the FMGOC banner: Fort McKay

8 • Business of Energy • October 2020

The Benefits of Energy | Melanie Darbyshire

In all, FMFN companies employ 2,000 direct employees, including 400 band members. “Our community is small, we have a membership of 840,” Grandjamb reflects. “I keep telling this to our young generation, that it’s a positive thing. We’ve got enough jobs to employ every one of our people if we wanted!”

FMSS is a medium to heavy civil contractor. With 100 pieces of heavy equipment and an experienced labour force year round, it provides civil and mining services to long and short term oil sands projects. “Of all the nations we’re the only one that self-performs work.

Meaning there’s no joint venture, no partnership, it’s strictly self-performing.”

FML is a limited partnership which originated in 1997 as a mail delivery and shuttle service at Syncrude Canada. Today it accepts and transports material worldwide, with 174 pieces of equipment and 355 employees.

Rising Sun is a joint venture Aboriginal business majority owned by the FMGOC and minority owned by Kaizen Automotive Group. Located in the Fort McKay Industrial Park, it has the only GM Warranty approved automotive service centre in the area. Birch Mountain, a successful hydrovac services operation, is the latest addition to the FMGOC group of companies.

The seven other companies in which FMFN is an owner in are: • Poplar Point Catering: a remote lodging service company; • Soogadin (“powerfully built” in Cree) Services LP: provides green and brown-field projects, shutdown/turnaround work, and specialized long-term facility maintenance; • First North Catering: a high quality camp facilities and operator; • Dene Koe LP: provides remote lodging services, business cooperation and community engagement; • Caribou Energy Park: an industrial park located 54 kilometres north of Fort McMurray and supporting commercial industries supplying the oilsands; • First Nations ETF LP: owns and operates a bitumen cooling, blending and storage facility; • Hammerstone Corporation: owns and operates the Muskeg Valley Quarry, covering 3,600 acres with over 750 million tonnes of limestone and gravel reserves; “Our business interests have evolved over time as we’ve continued to realign ourselves with the economic opportunities that we can execute well,” Grandjamb offers. “In today’s market you’ve got to have high service delivery, and of course maintain a good bottom line, otherwise you’re not viable. Over the years we’ve found that self-performing medium to heavy civil is good for returns. Logistics was a nice long term five-year contract. So those were good fits.”

“At the same time we’ve got to think about our human resources, our people,” he continues.

“We have to create a plan so that every one of our members should run these group of companies. Our members should be the heavy equipment operator, should be doing logistics, moving freight. And then down the road our members should be the CEO, the CFO. So we’re always looking at the community and our human inventories.”

9 • Business of Energy • October 2020

The Benefits of Energy

Strategic Services (FMSS), Fort McKay Logistics (FML), Rising Sun Services and Birch Mountain Enterprises. This is in addition to the seven companies in which the Nation has ownership.

Melanie Darbyshire | The Benefits of Energy

To this end, the Nation has a directive that every FMFN employee has a career plan. There is also an internship program to allow young members to try out different jobs in order to pick their best fit.

The economic benefits realized by FMFN have translated into an extensive list of community facilities. These include a band office and health centre, a daycare, an elder’s drop-in centre, two separate youth centres (one for elementary aged kids, one for teenagers), an arena, a business centre, a fitness centre and the Riverside Continuing Care centre for elders. A new school for kindergarten through grade nine students is currently under construction.

Given the lower price of oil over the last few years, FMFN has worked to diversify its business interests. “There are a number of initiatives we’re currently undertaking that are a bit high level,” Grandjamb explains. “We’re looking at putting a refinery on one of our reserves to support one of the oilsands plants. We’re also actively engaged in commercial property in Edmonton and we’re looking at some solar projects.”

One important future project however is in the oilsands. Fort McKay Oilsands Development LLP is a newly incorporated band-owned company, currently in the exploration and planning stage examining how to responsibly develop two leases in the heart of the oilsands region. These lands are adjacent to various open pit oilsands leases currently held by Suncor and CNRL. “We are gathering all our data to assess the value of the potential bitumen reserves,” Grandjamb says. “The numbers that we’re hearing are phenomenal. We’re talking 400 to 500 million barrels.”

The development currently being considered is open pit mining and bitumen extraction with a responsible development approach using most advanced technology possible. “We’re going to identify and determine what the reserves are and have a lot of community sessions to decide on how to proceed, because this is big.

We’ve got to outline all scenarios, pros and cons. Preliminarily, without having full blown community voting, it’s being received very well.”

The opportunity is a game-changer for FMFN. “The revenue we will receive from these oil sand

plants will put Fort McKay in a position where we will never have to depend on funding from any B one,” Grandjamb marvels. “That is our plan.” OE ABOVE: TIPI AND FORT MCKAY FIRST NATION BAND HALL, THE NEW ELSIE FABIAN SCHOOL IN FORT MCKAY, DUE FOR COMPETITION IN 2022 (RENDERING), MOOSE LAKE AND THE RIVERSIDE CONTINUING CARE CENTRE FOR ELDERS.

10 • Business of Energy • October 2020

Trevor Kearnes, Neil Gunderman, Jana McDonald and Trevor Skippen Photo by Courtney Lovgren.

TNT Engineering Celebrates a Decade of Service

by Rennay Craats

T

he three principals at TNT Engineering may have different skillsets and experiences in the industry but they share a sense of pride in doing the job well for their valued clients. That’s exactly what made them ideal partners to form a unique engineering firm. In 2010, Neil Gunderman, Trevor Kearnes and Trevor Skippen came together to create an innovative EPCM oil and gas services company that has served the Canadian and international markets ever since.

move for them to leave their firms and start this up with me,” says Gunderman.

Kearnes and Skippen worked at a different engineering firm and Gunderman spent his career in the field doing project management and construction supervision. The three crossed paths on various projects and not only worked well together but genuinely enjoyed each other’s company.

Since the beginning, the principals were selective about who they added to their team, seeking only those professionals who mirrored the founders’ dedication to high-quality standards and a positive culture. The result is a complement of skilled staff experienced in all areas of the business that is leading the company into its second decade and establishing TNT as a trusted partner for oil and gas companies.

“I was looking for a change and the three of us got together and we decided that it would be a good

It was a great decision. They started as a firm of three, each wearing every necessary hat to get the company off the ground. Within a year they hired engineers, draftspeople and administrators to bring the employee total to 10, and three years in they had reached their goal of 40.

TNT Engineering || 10 Years

11

Montney multi-well pa

Rendering of an oil battery we completed and designed by TNT Engineering. Start of engineering to commissioning was completed in less than 6 months.

“As an Engineering Procurement Construction and Management company, we do it all. We do the detailed engineering, design, drafting for electrical, mechanical, process, and civil,” says Gunderman.

“The field experience is something that really sets us apart—having not only the technical side but the practical knowledge.”

quick turnaround for clients. The team can make and implement decisions quickly, which allows the company to adapt and navigate a wider range of sectors for its clients than its larger competition.

TNT unites field expertise and engineering to deliver well-designed solutions to complex challenges, on time and on budget. By offering the advantage of single-source efficiency, the firm supports the entire project from the engineering, automation, and management to inspection, regulatory and operations support. Over the years, TNT Engineering has diversified its offerings across Western Canada, northern United States, Latin America and the Middle East. It provides expertise in such areas as pipeline modelling, compressor stations, day-to-day operations, optimization of oil and gas facilities, and design and evaluation of water injection systems. It also excels in installation and expansion of oil batteries and design and construction management of upstream oil and gas projects.

“We make ourselves available 24/7 for our clients, and we are fast to respond to client issues,” adds Skippen.

There is little the TNT team can’t do, from offering an extra set of eyes on a design up to $250-million projects and everything in between. As a small firm, TNT Engineering is nimble and can provide

TNT Engineering || 10 Years || 2

“We have the efficiency of a small company but we can handle jobs like we’re much larger,” says Gunderman.

TNT is the best of both worlds. Clients enjoy the individual attention and tailored solutions the small firm provides while benefiting from big-firm quality standards that come with the vast experience attached to the high-calibre project teams. TNT also boasts a unique mix of field and engineering not found in many firms. Gunderman’s field focus and expertise allows TNT to see things from both sides and ensures both are represented. They pride themselves on effective communication with contractors and tradespeople in the field and by speaking the same language, the job gets done right and done well.

TNT Engineering has spent the last 10 years exceeding clients’ expectations with its creative designs and solutions. While project managers work within an increasingly diverse portfolio, they have built a solid reputation in the Montney play.

Proudly serving the oil and gas industry since 1986 with 13 locations in Alberta and British Columbia.

For all your supply needs call

1-888-532-5661

ad.

TNT is the best of both worlds. Clients enjoy the individual attention and tailored solutions the small firm provides while benefiting from big-firm quality standards that come with the vast experience attached to the highcalibre project teams.

BARONOILFIELD.CA

“We’ve been doing a lot in northeastern BC with highvolume gas wells. We’ve spent a lot of time and effort making these efficient,” says Trevor Kearnes. “We’re on the leading edge of design for multi-well pads.”

The work they have done there fits with their mission to provide quality services that are also environmental, cost-effective and efficient for clients. The founders all have a great foundation in Montney projects and worked together on some before they even formed their firm. They carried that expertise into TNT where they continue to engineer well tie-ins, compression stations, gathering systems, and sales pipelines for several clients in the area.

TNT also completed engineering and design for three well tie-ins along with an expansion to an oil CPF in Iraq. TNT performed a 3D scan of an existing central processing facility that was increasing throughput from 10,000 to 35,000 barrels a day, and prepared a 3D model of all-new piping and equipment with accuracy to within a couple millimetres. Off-site fabrication was necessary and everything was modularized, fitting perfectly.

Customers can count on quality domestically and

TNT Engineering || 10 Years || 3

internationally, that’s what keeps them coming back; clients are loyal and TNT’s approach helps them retain their clients, as well as their staff, long term.

TNT treats staff like family and the culture is one of collaboration, support and respect. It is also one

Kurdistan, Iraq

Congratulations to TNT Engineering Ltd. on your 10 year Anniversary!

of community. The company is involved in various community groups including the Mustard Seed, Calgary Stampede, and the Drop-In Centre and the team supports causes close to their hearts, from helping veterans to single mothers to troubled youth.

Instrument Air Compressors - VRU Compressors - Tank Vents (PVRVs) - Casing Gas Compressors - Flare Knockouts - Flare Stacks - Flame & Detonation Arrestors

The principals are invested in the team’s success, are hands-on, involved with projects and mentor project managers, all without micromanaging the very capable team.

w w w. r u s s e l m e t a l s . c o m

3410, 53rd Ave. Lacombe, AB T4L 0B5 | www.envisionmanufacturing.ca

Congratulations on your first 10 years!

It’s always a pleasure working with TNT Engineering Ltd.

“They started an engineering firm because they knew they could do it better than anybody else.

They only pick people who are cut from the same cloth—and none of us is going anywhere. It’s a strong company culture and the people who are here want to be here through thick and thin,” says Jana McDonald, director of business development and client relations.

Through thick and thin, the good times and these challenging ones, TNT Engineering has established an enduring reputation for excellence that will carry it into its next 10 years.

From our work family to yours, CONGRATULATIONS on 10 years!

“Excellence all the way down the line.”

8-26103 Hwy 12, R.R.#4 Lacombe, Alberta (403) 782-2756 www.vikingprojects.ca

TNT Engineering || 10 Years || 4

Suite 600 - 639 5th Avenue South West Calgary, AB T2P 0M9, Canada Main 403 387 2500 | Fax 403 387 2535

www.tnteng.ca

The Perils of Unintended Consequences and Energy Divestment | Cody Battershill

THE PERILS OF UNINTENDED CONSEQUENCES AND ENERGY DIVESTMENT

by Cody Battershill

W

hether it’s major insurers, universities or large banks, divestment campaigns continue to grab headlines across the country.

What seems on the outside to be a straightforward example of ‘voting with your dollars’ is, on closer inspection, an investment approach fraught with unintended, highly problematic consequences.

Here’s an example. Recently, thousands of oil and gas supporters from coast to coast to coast have sent messages to global insurance companies in response to misinformation campaigns from activist groups trying to hurt our Canadian energy sector.

Global insurers like Zurich and others are under heavy activist pressure to drop all their business with TMX. The intention is for the activists to halt TMX in its tracks.

It doesn’t appear to matter that that Canadian standards for environment, health and safety are the highest among global suppliers, and that 93 per cent of Indigenous communities who were consulted through the TMX public process supported the project or did not object. Canada’s continuing innovations in clean technology and reducing emissions per barrel are also ignored.

But investors have tools that, when reasonably applied, will match up investment dollars with reputable projects. One tool is collectively known as the environmental, social and governance (ESG) investor criteria. Any fair ESG analysis of Canadian oil and gas shows Canada sits comfortable atop the world’s largest ten oil exporters – on virtually every metric.

So, once oil demand for 2021 surpasses 2019 figures and continues with its historic growth pattern as projected, where do divestment activists think the world should obtain its liquid energy? Here’s a hint.

A few years ago a well-publicized activist crusade pressured HSBC Canada to sever ties with Canada’s innovative, highly regulated oil sands.

After years of mudslinging from Stand.Earth and its friends, HSBC caved in to activist demands and took its investment capital elsewhere.

It instead turned to places like Saudi Arabia.

To say the Saudis are not widely known for their leadership on the environment and human rights is a real understatement. The divestment of HSBC from the Canadian energy sector while at the same time doing more with Saudi Arabia was a classic example of an unintended consequence.

TMX was reviewed numerous times, approved and re-approved by governments and the courts, and has the support of a large majority of Canadians from every walk of life.

Given global demand for oil is set to rise over the medium turn, Canadian pipelines protests and energy divestment won’t keep a single barrel of oil in the ground.

If climate action, leadership in renewable energy, a strong regulatory framework for environmental performance, Indigenous support and the best record on social progress and human rights are things investors wish to encourage, then those B investors will support Canadian oil and gas. OE

Cody Battershill is a Calgary realtor and founder/spokesperson for CanadaAction.ca.

15 • Business of Energy • October 2020

EQUIPMENT AND SERVICES FOR OILFIELD DRILLING, COMPLETIONS AND PRODUCTION NEW, UNUSED, IN-STOCK AND READY TO GO TANK SIZES:

TANK TYPES:

AVAILABLE OPTIONS:

EQUIPMENT IN STOCK:

• 400 BBL • 750 BBL • 1000 BBL • 1250 BBL • 1500 BBL • 2000 BBL • 2500 BBL • 4000 BBL

• Storage • Process • Production • Skim • Pop • De-Sand • Rental Style

• Single and Double • Internal and External Coatings and Insulation in Accordance with Industry Standards • Custom Skid or Anchor Chair Design for Pile Installations • Fire-Tube/Burner Heating Systems, Immersion Heaters, Electric Heat Coils, Glycol Heat Coils Etc. • Heated Vaults

• Well Site Separator Package, Skid-Mounted • Oil Treaters and Flare Knock Out Drums Free Water Knockout (FWKO) systems • Line Heaters • Dehydration Packages and Amine Packages

BUY BACK OPTIONS • RENT-TO-OWN • IN-HOUSE FINANCING • FLEXIBLE PAYMENTS Inclusive Energy Ltd. is the fastest growing service company with a vast variety of high quality equipment and quick turnarounds to meet the demands of the growing energy industry.

We offer all related services for turnkey projects to help customers execute projects from start, to finish helping us to establish ourselves as an industry leader.

HEAD OFFICE: (403) 444 6897 | SUITE 5050, 150 6TH AVE SW

INCLUSIVENERGY.COM