Battle lines have been drawn between three alliances working this future site of significant oil and gas production.

After bid rounds in September 1999 and August 2000 by the Northern Oil and Gas Directorate (NOGD) and a rights offering in April 2000 by the Inuvialuit Regional Corp. (IRC), prime acreage on the Mackenzie Delta has been sewn up by a mixture of Canadian and US majors and intermediates.
Petro-Canada, Anderson
The Petro-Canada and Anderson (now Devon Canada) alliance, known as PCAXL, holds four Crown and two IRC parcels in the "near onshore" or southern portion of the Delta and on the Tuk Peninsula to the northeast. Totaling 1,650 sq miles (4,274 sq km), their holdings are the largest on the Delta. The PC Anderson Kurk M-15 well, on the west side of the Mackenzie Delta in Exploration License (EL) 395, was drilled between February and April 2001. Although results are confidential, the well encountered several gas-charged sand intervals, and the companies plan to test the zones with a service rig this winter pending favorable technical evaluation. The partners carried out an extensive Delta field program this past winter and spring that included four seismic programs and one or two geochemical surveys. Anderson also recently completed a seismic program in the Beaufort Sea.
A new state-of-the art Arctic drilling rig, Akita Equtak Rig No. 63, began the move from Edmonton, Alberta, to the Delta in August. It is the first of four Arctic units under construction by the Akita Equtak consortium and the first operated by Anderson Exploration (Devon) in the Mackenzie Delta. It will be used initially on Anderson's Tuktoyaktuk blocks and is part of Anderson's Tuk 2 drilling program, for which two wells are scheduled during the winter of 2001-2002. During the next 5 years, the Akita rig should drill two holes per winter to meet drilling and spending commitments on PCAXL's six Delta parcels.
BP, Burlington, Chevron
The trio of BP, Burlington and Chevron (BBC) has the second largest land holding, occupying a funnel-shaped position from Inuvik through the central portion of the Delta to the Beaufort Sea. As with PCAXL, BBC is hedging its exploration program by covering a variety of play types across the flexural hinge of the deltaic complex. This allows for favorable structures in the Cretaceous-aged graben further inland and in Tertiary-aged growth-related trapping configurations on the Delta front.
BBC's three Crown holdings (ELs 393, 394 and 404), which are farther out on the Delta, show significant promise. EL 393, the northeast block, in which half the acreage sits offshore, borders two 1973 Imperial Tertiary oil discoveries: Ivik J-26, with 5.9 million bbl of oil; and Ivik K-54, with 4 million bbl of oil. It also surrounds the 28 Bcf Mallik L-38 Tertiary gas discovery drilled by Imperial the previous year. EL 394 has the greatest gas potential of all onshore blocks if proximity to the number of discoveries is the single criterion, with six Significant Discovery Licenses (SDLs) bordering or surrounded by EL 394 acreage.
Prior to formation of the joint venture in December 2000, Burlington, the original holder of the three Crown leases, announced it would drill two wells on each parcel during the winter of 2002-2003. Upon teaming up, BBC expanded the exploration plans for the Delta. Chevron will lead the early phase of the program. Burlington and Chevron conducted 112 miles (181 km) of 2-D and 1,680 linear miles (1,044 linear km) of 3-D seismic on the Burlington blocks last winter. Chevron also shot 145 miles (234 km) of 2-D on the two Inuvik blocks.
AEC, Gulf, Anadarko
The third consortium - AEC, Gulf (now Conoco Canada) and Anadarko, known as AGA - has joined forces to evaluate ELs 384 and 385 on the eastern side of the Delta, where it merges with the Tuk Peninsula. Anadarko entered the group as part of a larger northern exploration and development joint venture with AEC announced Aug. 31, 2000. Anadarko's 100%-operated EL 407, cradled in BBC's Delta-front acreage, may become part of the joint venture as the exploration program unfolds. EL 407 hosts five SDLs, but strict environmental protocols add to the operational challenges on this block. Excluding Taglu in the southeast corner, gas reserves range from 10 Bcf at Garry South to 254 Bcf at Garry North. More impressive are the associated oil reserves in two of the discoveries - Garry South holds 58 million bbl, and Adgo holds 39 million bbl.
AEC operated the lone 413-mile (665-km) 2-D program shot for the trio this past winter. Prior to the Conoco takeover, Gulf had planned a 232-sq mile to 270-sq mile (600-sq km to 700-sq km) 3-D seismic program for this coming winter as it prepared to drill a well on its Parsons Lake SDL in winter 2003.
Other players
Shell Canada holds one parcel (EL 403) with a northern arm that offsets its two discoveries at Kugpik and Unak in 1973 and 1986, respectively. Kugpik O-13 and L-24 contain an estimated 3.8 million bbl of oil, probably in the Cretaceous section, whereas Unak L-28 has Tertiary and Cretaceous gas reserves of 36.3 Bcf. Shell was active on its block last winter, running a geochemical survey and shooting 52 miles (84 km) of 2-D plus 56 sq miles (144 sq km) of 3-D seismic. Notably absent from Delta exploration activity is the duo of ExxonMobil and Imperial Oil. With 13 gas and oil discoveries in the area, including a 25% interest in the Parsons Lake gas field via Mobil, the pair has a significant presence in the region already.
Winter forecast
Although this winter will see less activity than previously expected as some companies have cut back plans due to a variety of factors, there is an expectation among industry insiders that it will be busier than last year. Anderson, BP Amoco and AGA seem to be pretty good bets for drilling this winter.

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