Thank you, Mr. Speaker. Mr. Speaker, the economy of the Northwest Territories depends to a large extent on the development of our natural resources. Gold, diamonds, base metals, oil and gas all play a significant role in our economy. They will continue to play an increasing role in years to come. Mr. Speaker, the economy of the Northwest Territories depends to a large extent on the development of our natural resources. Gold, diamonds, base metals, oil and gas all play a significant role in our economy and they will continue to play an increasing role in years to come. We are entering a new era in resource development here in the Northwest Territories. Natural gas demand is growing in the United States and southern Canada. We fully expect the Northwest Territories will be a source of this much needed supply. We currently possess vast resources of natural gas ranging from those on land in the Deh Cho region to those near Colville Lake, the Mackenzie Delta and the Beaufort Sea. The time to develop these gas reserves is now upon us.

I would like to take this opportunity to recognize one of the men responsible for bringing about this new era in oil and gas development. Chief Harry Deneron of Fort Liard realized several years ago the potential for gas development in the Liard area. He actively encouraged its exploration and development. This activity has resulted in substantial jobs and opportunities for northern residents and businesses. Chief Deneron is to be commended for his vision and work.

Increased exploration and development activity is already occurring. Fourteen leases have been issued in the Liard area while the Sahtu has 15 active leases. The Mackenzie Beaufort Delta is drawing renewed interest. Bids are now being accepted for four parcels of land. Eleven new wells are expected to be drilled in the Northwest Territories during the 1999-2000 season.

Mr. Speaker, the government anticipates that within ten years, a gas pipeline will link the Beaufort, Deh Cho and Sahtu gas fields to southern markets. The construction of the main trunk, the gathering pipelines and the exploration to support this development will result in up to ten times the level of employment and business opportunities and resource revenue as the north's emerging diamond industry. The government must be prepared to address the many issues that will accompany this Mackenzie Valley development. We must ensure that development of northern resources results in the maximum employment, training, and business opportunities for Northerners, who must begin to prepare for the social impacts from this short-term, large-scale development. We must ensure that the Northwest Territories benefits from resource revenue sharing. We must maximize benefits to aboriginal organizations.

Mr. Speaker, we know the benefits and challenges that come with increased oil and gas exploration. As we move forward with development, we must prepare for what is to come. Resource development does not just happen. It must be encouraged. It must be managed, and it must result in significant benefits to Northerners.

The government has approved the formation of a deputy ministers' committee to identify issues and prepare recommendations relating to the management of Mackenzie Valley development. It will be chaired by the deputy Minister of Resources, Wildlife and Economic Development and include the Secretary to the Financial Management Board, the deputy ministers of Aboriginal Affairs, Education, Culture and Employment, Finance, Health and Social Services, Transportation and Municipal and Community Affairs.

Mr. Speaker, the government is taking a proactive approach to development in the Mackenzie Valley. We intend to maximize economic opportunities for Northerners while minimizing the social and environmental impacts associated with oil and gas development. Mahsi cho.