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China invests millions in Yukon oil and gas

There's a renewed search for oil and gas in Yukon thanks to a multimillion dollar investment from China.

Northern Cross now partly owned by China National Offshore Oil Company

There's a renewed search for oil and gas in Yukon thanks to a multimillion dollar investment from China.

The Calgary-based company Northern Cross is now 60 per cent owned by the China National Offshore Oil Company (C-NOOC). It’s the same Chinese oil giant that has offered $15 billion to take over Alberta's Nexen oil and gas production.

Northern Cross is currently re-drilling its properties in the Eagle Plains area and it hopes to find enough oil and gas to take care of Yukon's growing energy needs.

C-NOOC will finance a $20 million drilling program at Eagle Plains over the next few winters.

Northern Cross director David Thompson said Yukon's energy needs have already surpassed local production, and with new mining projects on the horizon, it could make the company's Eagle Plains oil and gas wells viable.

He said Yukoners already spend too much shipping fuel up from the south.

The company's latest drilling plans are up for public review by Yukon's Environmental Assessment board. The deadline for comments is Sept. 7.