Nova Scotia Premier Tim Houston said Inceptio Oil and Gas Limited told the province it could not post security by Oct. 26, calling the missed cutoff a setback for its two offshore bids.
Houston gave the amount as $50 million in an Oct. 26 Facebook post. The Canada-Nova Scotia Offshore Energy Regulator (CNSOER)’s published formula sets the work deposit at 25% of the work expenditure bid. Applied to Inceptio’s C$210,130,000 in bids, the calculation yields C$52,532,500. The difference between Houston’s figure and the formula result is unexplained.
On Apr. 30, the CNSOER named Inceptio the successful bidder for Parcel 8, with a C$10,065,000 work expenditure bid, and Parcel 9, with a C$200,065,000 bid. The call drew no bids for its other 11 parcels.
Being named the successful bidder did not authorize exploration. The CNSOER made licence issuance contingent on meeting the call requirements and receiving federal and provincial ministerial approvals. It said any exploration plan would need a separate application and regulatory authorization, as well as an environmental or impact assessment specific to the project.
The call terms provide for forfeiture of the C$10,000 bid deposit and disqualification if the work deposit is not provided. The regulator may offer a licence to the next-highest bidder at its discretion.
In an April statement, Houston said the bids could bring more oil and gas work to Nova Scotians, generate government revenue and reduce the province’s reliance on U.S. energy.
A joint statement from the federal and provincial governments said ministers vetoed a fundamental decision in 2023 to issue Inceptio Limited an exploration licence for a Sable Bank parcel. The governments cited broader policy considerations, including clean-energy commitments.
