Look Out Alberta Oil Sands, Canada Has a New Oil Patch

Oil producers have just been given the green light to expand their offshore oil rigging into one of Canada's main waterways.

Along with the government of Quebec, Stephen Harper's Conservative-led government finally tabled the legislative framework "for the joint management of petroleum resources in the Gulf of St. Lawrence."

What that means is that the beginning of offshore oil rigging in one of Canada's busiest and most protected water veins, is now imminent. After the Quebec Accord of 2011 signalled the offshore rigging, this legislative move by the government actually activates the process.

The legislation still has to stand the test of parliament. But with a Conservative majority in the House, it's as good as passed.

"Once passed, this legislation will enable the safe and environmentally-responsible development of petroleum resources in the Gulf of St. Lawrence, creating jobs, revenues and economic growth for the province," said the statement from the Prime Minister's office.

The St. Lawrence river corridor is already home to several unique species, including the at-risk white beluga whale that, according to government reports, is already dwindling in population from pollution. Montreal and Quebec City sit on the coast of the St. Lawrence River and would directly suffer from any potential spills, with major population centers in Toronto and Ottawa not far away.

The David Suzuki foundation released simulations of potential oil spills in the St Lawrence if drilling were to be green-lit. Unsurprisingly, the not-for-profit organization carrying the namesake of Canada's most well known scientist said drilling is a disastrous idea.

Yet the Harper government maintains there will be a careful regulatory process in place before drilling even begins.

"Upon the first commercial discovery of petroleum resources, the second and permanent phase of the management structure would be triggered," it said in the release. According to Harper, oil discovery will kick off a second piece of separate legislation establishing an "independent offshore board."

"This two-phased approach," the government maintains, "allows the two Governments to jointly manage the offshore resources and to develop an offshore board only when the level of activity warrants it."

Throughout the legislative process, the Quebec government has been adamant that drilling potential could "generate revenues and economic growth" for a province in economic stagnation. That's likely the same reason the French province is turning to its own increased oil and natural resource extraction.

Along with new oil rigs in the St. Lawrence, the future "Plan Nord" is a massive $80 billion program aimed at developing new mining infrastructure in northern Quebec, kickstarting a brand new extraction economy in the vein of the Albertan oil sands. Across the provincial border in Ontario, the Ring of Fire, once touted as the 'next oil sands' is still aggressively being developed for new extraction programs.

There's no disputing the Alberta tar sands is Canada's reigning oil patch, bringing in billions in crude revenues every year. It's also garnered itself an almost apocalyptic reputation among environmentalists for its vast mercury emissions. But new locations in Canada are being scouted for similar projects.

It's clear with the lessons from recent Albertan wealth, the two oldest provinces in Canada are looking to become the heart and soul of the Canadian economy once again by looking to oil and natural resources. Meanwhile, British Columbia, sitting next to the tar sands in the west, has its own pipeline debate to contend with as it attempts to take a slice from Albertan bitumen pie.

Harper's latest plan to allow the St. Lawrence River corridor to become the next great Canadian oil patch is par for the course when it comes his government's support for the energy business. The real harbinger is how eager other provinces are to emulate Alberta—even in the face of environmental disasters—all in the name of new revenue sources.