The Hebron Oil Project

The Hebron Oil Project

The Hebron Oil deal was signed on August 20, 2009 bringing a new era to the future of Newfoundland and Labrador economy.  The Hebron Oil deal involves a consortium of companies that include Cehvron Canada, ExxonMobil Canada, Petro Canada and Norsk Hydro Canada Oil and Gas.  In addition, the Newfoundland and Labrador Government has an equity stake in the Hebron Oil project that is expected to bring government revenues from the oil field of about $16 billion over 25 years.

When asked about the Hebron Oil deal, Premier Danny Williams indicated "Hebron is a breakthrough agreement for the province and this is a day that all Newfoundlanders and Labradorians can take pride in and celebrate."  Under the Hebron Oil Agreement, the Newfoundland and Labrador Government has become an equity owner with 4.9 percent stake, and a super royalty regime of an additional 6.5 percent on net revenues.

The Hebron Oil project will provide many jobs as well, as it is expected that the construction of the Gravity-Base Structure (GBS) will be completed in this province.  The Hebron Oil project will bring many jobs to the province, and means more revenue than the Terra Nova and White Rose projects.

There is a planned Hebron Oil Project office to be located in St. John's, Newfoundland.  First oil is expected to be pumped from the Hebron Oil Project between 2016 and 2018, with peak product expected to bring approximately 150,000 barrels of oil from the Hebron Oil field.