ST. JOHN'S, N.L. - Federal and provincial regulators have conditionally approved development of the Hebron oil project off Newfoundland.
The field is estimated to hold just over 700 million barrels worth an estimated 20 billion dollars over 30 years.
The Canada-Newfoundland and Labrador Offshore Petroleum Board approved an application by a group of oil companies led by ExxonMobil Canada, subject to 16 conditions.
They include requirements for plans to deal with skilled labour shortages and environmental issues.
The Hebron field about 340 kilometres southeast of St. John's is expected to draw first oil around 2017, if the provincial and federal governments both approve.
Partners led by ExxonMobil Canada include Chevron Canada, Suncor Energy, Statoil Canada and provincial Crown corporation Nalcor Energy.
The province has a 4.9 per cent equity stake.
