Noia’s Charlene Johnson touts importance of Terra Nova before union group
ST. JOHNS, NEWFOUNDLAND – Newfoundland and Labrador Oil and Gas Industries Association President Charlene Johnson commented on the fate of the Terra Nova FPSO project in prepared remarks delivered to Unifor Local 2121. Her remarks were as follows:
“Good morning. Thank you Dave Mercer & Unifor Local 2121 for hosting this rally and allowing me to say a few words.
And thank you to each one of you for attending and showing your support for the Terra Nova project and our offshore oil and gas industry.
Nine months ago, I stood on these very same steps, with all of you, as we rallied to save our offshore.
That day, as it waited in limbo, I said that the Terra Nova FPSO was not mean to be a tourist attraction in Conception Bay.
Now, here we are with the very real threat that the Terra Nova FPSO has progressed beyond tourist attraction status to being an asset ready to be sent to the scrap yard, with the lives of those tied to it hanging in the balance.
The Terra Nova has provided billions in royalties and taxes to the province.
And it has injected billions more of capital investment into our province.
Thousands of people have had well paying jobs – let me rephrase that, well-paying careers. Careers that have provided them the opportunity to live, work, and raise a family here, at home.
We have built an industry. We have built expertise. And, we have built a reputation.
We cannot afford to lose the Terra Nova, because we stand to lose all this, and a lot more.
Last week Noia had an economist study the benefits of the Terra Nova project and what we will gain should the ALE project proceed. And while we should not be surprised, the numbers are impressive and make a strong business case for this project.
The project has the potential to support over 1,700 jobs in Newfoundland and Labrador during just the refit.
Once the FPSO returns offshore there are upwards of 3,400 jobs and $139 million in wages annually that will come to this province during ten years of operation.
In the economist’s model, provincial and municipal governments stand to receive a total of almost $1.5B over that same period. That includes $880M in royalties and $600M in taxes.
That is significant return for our province and all operators involved will no doubt receive substantial financial returns for their investment too.
I know at this time it seems a resolution is not easy to find. In fact, it may seem impossible. All the parties at the table have different considerations – and we understand that, we respect that.
However, I believe that where there exists a will, there is a way, and I further believe there is a will. Now is the time to find the way.
On behalf of Noia’s 460 members representing thousands of people whose livelihoods depend upon the Terra Nova project and our offshore oil and gas industry, I implore all the parties to come together: to find a solution; to find a way.
Just last January there was an MOU and it seemed a resolution was at hand. Let’s get back to that place and have the Terra Nova back in its place – offshore contributing to a dynamic and prosperous offshore oil and gas industry.”