Natural Resources committee  Do you want to...?

Natural Resources committee  Thanks for that question. I'll start off with the containment effort. The exercise commenced in July. They were joined by BP just about a month ago, so it's still early stages. Most of what they're doing at this point, we think--even though we're not actively involved, and it is being done within the companies--is reviewing what was done, basically the lessons that were learned, if you like, from the Macondo, because that was the first well for which that kind of major subsea containment effort was mounted.

Natural Resources committee  I referred earlier to all the documentation and all the plans and procedures that companies have to have in place. I think there were two questions, and I'll answer the second one first. The question was whether companies do all the work they should to prepare for emergencies that happen and whether there is some sort of cost analysis.

Natural Resources committee  Yes, we contemplated it, but we very quickly realized that all the proper procedures and processes were in place. Chevron had the right people and the right equipment. We permitted them to spud that well. I think it was probably some 20 days after the Macondo well blew out.

Natural Resources committee  Yes, that's correct.

Natural Resources committee  I think there's a certain amount of risk involved in any decision regarding offshore oil and gas activity. It's how well that risk is understood and analyzed and assessed that allows you to move forward. In our case, we became aware fairly quickly that what had happened in the Macondo incident was a result of failure to adhere to proper procedures.

Natural Resources committee  Thank you very much. Let me just explain perhaps what has occurred in the licensed area that contains the structure known as “Old Harry”. It's an exploration licence that was issued to Corridor Resources some time ago and is within the Newfoundland and Labrador offshore area only.

Natural Resources committee  My understanding is that Corridor is actively seeking companies to participate with them in drilling an offshore well. Corridor does not have experience in offshore drilling; their primary experience is land-based in New Brunswick and Nova Scotia and in the exploitation of land-based oil and gas.

Natural Resources committee  Yes, they did. They were authorized back in very early October--I think October 4--to conduct a shallow geo-hazard seismic survey. That was done, I believe, in the period from October 11 to October 16. A fisheries observer was on board to make sure all the appropriate procedures were put in place so that there weren't any marine mammals in the area when the seismic work was done and no fishing activity was interfered with.

Natural Resources committee  Yes.

Natural Resources committee  Certainly. It's a very good question. I'm happy to try to deal with that. When I refer to containment, I'm talking about containment efforts that are put in place after an incident has happened, so after there's some sort of failure of equipment and procedures like we saw in Macondo.

Natural Resources committee  No, it's the Canada-Newfoundland and Labrador Offshore Petroleum Board.

Natural Resources committee  I do have to live next to my colleagues in Nova Scotia.

Natural Resources committee  Thank you very much. Mr. Chairman and members of the committee, it's a pleasure to be here again today and to have this opportunity to talk to you about offshore emergency response in the Newfoundland and Labrador offshore area. When we talk about emergency response, we really need to take a broad view of what ian emergency is.

Natural Resources committee  We believe that is the case, yes. But as I say, those are just things we've heard. We don't have any real evidence.