News Release

For immediate release
February 10, 2003

Core Supply Service for Offshore Development to be Established in Mulgrave

Mulgrave, N.S. – The Honourable Gerry Byrne, Minister of State for Enterprise Cape Breton Corporation (ECBC) and the Atlantic Canada Opportunities Agency (ACOA) announced today, Government of Canada funding for Genesis Offshore Canada Oilfield Services Inc. to begin construction of a processing, warehouse and distribution centre for drilling fluids in Mulgrave, NS. 

The provision of drilling fluids and related technical engineering is a core service required by offshore exploration and development companies. With the total value of offshore oil and gas exploration in Nova Scotia estimated to be $1.5 billion over the next five years, Genesis views Mulgrave as a central location from which it can service the industry. Product will be transported as need be to silos for offloading on to supply vessels. 

Genesis International Inc. (the parent company) is a 100% Canadian-owned company, specializing in providing specialty chemicals and drilling fluids to the oil and gas industry in Canada and internationally. Genesis also provides expertise, leading edge technology and quality products to its customers. The Mulgrave sight, once operational, will assume supply responsibility for all of Genesis’ Atlantic Canada needs. 

“It is anticipated that the establishment of the Genesis facility in Mulgrave will provide significant economic benefits to the region and especially to the 
Strait of Canso area. This business is key to the establishment of a full-service offshore supply base which will attract other industry to the area,” said 
Rodger Cuzner, MP for Bras d’Or–Cape Breton, speaking on behalf of 
Minister Byrne. “This will lead to further job opportunities and 
economic spin-offs.” 

"Mulgrave has great potential as a service port and Genesis has the experience and the confidence to take advantage of the tremendous growth potential here for the offshore supply industry,” said Alan Pippard, President and CEO of Genesis. “With this funding assistance from the Government of Canada, we will be able to support growth and local employment to the region.”

The total cost for this infrastructure project, which is expected to create six full-time jobs, is $1,104,000. Genesis is investing $552,000. ECBC will provide a loan of $52,000 and also a repayable contribution of $500,000, through the ACOA Business Development Program. 

Funding for this project was provided for in the February 2000 Federal budget and is therefore built into the existing financial framework.

Enterprise Cape Breton Corporation offers programs in support of economic development initiatives and is responsible for delivering ACOA's programs in Cape Breton and the Mulgrave area.



FOR ADDITIONAL INFORMATION CONTACT:

Ralph Meechan
Office of the Minister of State for ECBC & ACOA
Tel: (613) 957-9959
Fax: (613) 941-7844

Office of Roger Cuzner, M.P. 
Bras d’Or-Cape Breton 
Tel.: (902) 842-9763
Fax: (902) 842-9025

D.A. Landry
Enterprise Cape Breton Corporation
Tel: (902) 564-3617

Alan Pippard
President and CEO 
Genesis Offshore Canada Oilfield Services Inc. and
Genesis International Oilfield Services Inc.
Tel: (403) 303-2670