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white rose oilfield development application - Husky Energy

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6.2 Effects and Mitigative Measures6.2.1 Business and EmploymentWhite Rose will have a range of positive economic effects throughout the construction/installation andoperations phases in particular, but also in terms of its cumulative effects in conjunction with otheroffshore and industrial projects. The positive effects anticipated reflect, in part, <strong>Husky</strong> Oil’scommitment to Canada-Newfoundland benefits, which will ensure that a broad range of business,employment and industrial benefits result from the project during both the <strong>development</strong> and operationsphases. These will affect the province as a whole, but mainly those areas containing companies thatsecure construction contracts, and the St. John’s area, which will be the base for operations. During theoperation phase for the project, direct employment is expected to require a permanent workforce ofapproximately 370 to 375 persons on-shore and offshore in the first four to five years of operations.Indirect and induced employment effects will add to this.The potential for Canadian and Newfoundland involvement in project construction and operationsactivity could potentially be constrained by industrial and labour capability and capacity. The businessand employment effects of the project will depend not only on the existing business capabilities andlabour force and how they might be increased or enhanced, but also on other cumulative demands onthem. However, given the current project schedule, there will be only limited conflicts betweenindustrial and labour requirements of White Rose and those of other major projects. The project willlikely not result in negative economic effects, such as wage or price inflation.There will be similar demands on infrastructure and labour required for operations. However, this is notviewed as problematic, given that such demand provides long-term opportunities, justifying investmentsin infrastructure and training. There is a high level of awareness, within the federal and provincialgovernment, industry and training institutions of the need to plan and prepare for future labourrequirements.There will also be important secondary or multiplier effects that can be wide-ranging and long-term.The oil industry as a whole is having a transformative effect on companies and workers as they developnew skills and capabilities that make them highly competitive in Newfoundland’s oil industry andelsewhere. Similarly, oil industry-related industrial infrastructure, research and education are increasingthe likelihood of and potential for Newfoundland benefits from further offshore petroleum projects.Overall, the project will further contribute to this growing industry and, hence, to the further<strong>development</strong> and diversification of the Newfoundland economy.White Rose DA Project Summary • January 2001 Page 91

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