West White Rose
In March, construction on the West White Rose (WWR) project was suspended due to COVID-19, leading to a delay of at least a year in achieving first oil.
Husky is now conducting a full review of the project. Read more.
This is difficult news, for Husky's employees, its suppliers and for Newfoundland and Labrador.
With the global economic downturn, and the need to maintain the strength of the balance sheet, a review of project scope, schedule and cost is critical.
Adding debt to finance the project is not an option.
As WWR is critical to the future of Husky's existing White Rose field, a review of the project includes a wider review of the Company's future operations in Atlantic Canada.
Local jobs means money re-invested into local communities.
500 people currently employed by Husky in NL.
WWR adds 250 new full-time jobs.
Investments could be made to make the platform net zero, largely through SeaRose optimization projects.
Continued investment in the community.
Investment in NL
Investment in offshore NL provides jobs, benefits, royalties, taxes.
$11B in future capital
and operating expenditures.
More than $3B in incremental future royalties and taxes (federal and provincial).
WWR Needed for Further Investment
WWR is the catalyst for further investment in the White Rose field and SeaRose.
Project Construction Jobs
Indirect Supply and Service
(tied to Husky operations with producing WWR)
Current Number of Husky Jobs
New Full-Time Jobs Once WWR Producing
Opportunity to make West White Rose’s platform a net zero facility, largely through SeaRose optimization projects.
These investments will not proceed
West White Rose greenhouse gas emissions intensity is expected to be 50% lower than the average barrel produced in Canada.
Set a target of reducing its GHG emissions intensity by 25% by 2025.
The ambition of achieving net zero emissions by 2050.
WEST WHITE ROSE'S PLATFORM CAN BE A NET ZERO FACILITY.
The offshore industry, including Husky, provides well-paid jobs that help drive NL’s economy.
Husky directly employs 500 people in its NL operations.
If construction resumes early in 2021, more than 1,000 unionized jobs (with a peak employment of 1,400) will be available in Argentia and Marystown to finish construction.
Once in operation, the West White Rose project would employ an additional 250 people full-time.
With WWR operating, there are about 1,500 indirect jobs in the region related to Husky operations.
Husky’s operations support local jobs, which contribute to individuals’ ability to invest in the local economy.
About $1.1 billion in work remains to be completed in NL related to the West White Rose project.
West White Rose will deliver approximately $11 billion in future capital and operating expenditures into the local economy over the life of the project.
The project will contribute:
More than $3 billion in incremental future royalties and taxes (federal and provincial).
$60 million in future NL research and development and social investments.
$48 million to the Provincial Innovation Fund.
Overall, the offshore industry in NL will generate about $60 billion in gross domestic product by 2038.
With West White Rose, Husky helps drive NL’s economy, supporting more than 2,200 local jobs.
Husky contributes to Newfoundland and Labrador, where its people live, work and volunteer.
Local organizations have benefitted from more than $15 million in donations.
Memorial University – Husky Centre of Excellence in Sales and Supply Chain Management; hiring more than a thousand co-op students over the years.
Canadian Cancer Society – NL cancer prevention program.
Heart and Stroke Foundation, NL division – automated external defibrillators for schools.
Thrive Youth Community Network – assisting low income and youth at risk, including help to stay in school and finding employment, and meeting basic needs, providing mental health supports.
Easter Seals House.