This study provides a comprehensive evaluation of the production, reserves and economic potential of natural gas extraction and transportation from Nova Scotia offshore (Sable Island) plays. Newly available information from Canadian Gas Potential Committee (CGPC) and other private data vendors was integrated into a comprehensive Gas Systems Analysis Model (GSAM), which is a gas supply, demand and transportation model developed by the U.S. Department of Energy (DOE).

Based on the preliminary model runs it has been found that offshore resources in Sable Island have the potential for significant future production. The recovery potential could be greater than the Sable Offshore Energy Project (SOEP) design. SOEP taps only 5 TCF of original gas in place (OGIP) and the total estimate of OGIP could be as high as 18 TCF. Aggresstive advancement of technology and a healthy gas price could warrant a production rate of around 600 mmcfd that is 50% higher than the planned SOEP design. Under such scenario about half the added production will generate incremental demand in the North American East Coast.

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