Canada's Sovereignty in the Arctic Islands

The history and experience of early companies in the Islands is illustrated by the typical transactions of Trans-Western from 1959 to date. Trans-Western had entered into farmout agreements with companies strong enough to carry out at least the required minimum exploratory work and then such development as might be warranted. The farmee companies were required to make deposits to guarantee work performance during the first period of validity, i.e. the first 3 years of the 12-year life of the permits, and at the rate of 5 cents per acre. At that time, a good deal of geology was available, as a result of extensive exploration that had been carried on by the Geological Survey of Canada and other geological enterprises, with field parties travelling over and camping on all of those Islands. Trans-Western's farmees then selected, from Trans-Western's priority on 13.5 million acres, what they believed were the lands most prospective of producing large oil and gas discoveries, and, having the right to trim off acreage which they considered less prospective, thereby reducing the acreage of Trans-Western and its farmees to in excess of 5.5 million acres. The farmees then commenced a 3-year program carrying out geological exploration to the required minimum of 5 cents per acre, and with some permanent and many mobile camps.