Seamus O'Regan arrives in Calgary with the tough task of winning over the oilpatch

For decades, Newfoundlanders have traversed the country to work in the oilpatch. It's a long commute, but there was often a lucrative reward.

They used to come by the thousands, often on chartered flights, to work on the rigs and fill the many jobs around Fort McMurray.

Newfoundland and Labrador MP Seamus O'Regan is on a similar path, havingtouched down in Alberta on Thursday night with excitement for his new job.

The payoff, if any, will be difficult toearn.

O'Regan is the new natural resources minister and arguably was given thetoughest portfolio by Prime Minister Justin Trudeau on Wednesday as the cabinet was announced.

There are 50,000 fewer people working in oil and gas than there were five years ago, before the price crash, according to CIBC, andwestern alienation in Alberta and Saskatchewan is a serious concern for the federal government.

Drilling activity continues to languish, while investors give Canada the cold shoulder.Investment in oil and gas production in Canada has fallen from about $80 billion in 2014 to about $40 billion in 2018 and 2019.

O'Reganwill now get a chance todiscuss all those things and more. He'sexpected to meet Fridaywith Alberta Energy Minister Sonya Savage and executives from the private sector.

Savage, who spoke with O'Regan on Wednesday by phone, said she's expectinga good working relationship with the new minister.

"I'm hoping that he hears the concerns coming from Alberta and understands them and that changes will be made," Savage said in an interview.

"We can't have a continuation of what has happened over the past four years where policies in Ottawa were one after the other unfair to Alberta and harmful to Alberta."

Among the top issues for the oilpatch are two pieces oflegislation:one overhaulingthe approval process for new energy infrastructure (Bill C-69)and another restricting oil tankers in British Columbia's northern waters (Bill C-48).

Industry wants Bill C-48 to be scrapped. Alberta Premier Jason Kenneycalls Bill C-69 the "no more pipelines bill," though it had been touted as a way to give industry faster and more predictable timelines.

Both bills havebeen targets of protest.

Jim Carr, the federal government's new special representative for the Prairies, appeared to open the door to changes Thursday when he said theremight be room to look atboth pieces of legislation.

The comments appeared to stirsome initial optimism in the oilpatch, thoughO'Regansuggestedthe government isn't looking at changes to the legislation, but instead at how they'reimplemented.

Clarity will almost certainly be sought during Friday's meetings.

Investor attention

The hope will be thatany changes will help lure dollars back to the sector.

Industry is desperate for the attention of investors and had hopedKenney's victory in the spring would help the situation.

O'Reganshould now take the opportunityto help the oilpatch by talking up the sector to investorsat home and abroad, saysMarcella Munro, a senior strategist with KTG Public Affairs.

He shouldclearly state to the investment community thatthe government of Canada is in the business of making sure our oil and gas industrythrives, she says, and that the country is developing new technology for the future.

"I think that would help an awful lot," says Munro.

The oilpatch will also wantto see any promises of help to be followed with action.

Cenovus Energy spokesman Brett Harris said the industry needs new pipelines and "a fiscal and regulatory environment that addresses Canada's eroding competitiveness and attracts investment back to the Canadian energy sector."

Rocky relationship

No doubt, part of O'Regan's visit will be aimed at improving relations with Ottawa.

A year ago today, when Trudeau was in Calgary to give a speech tobusiness leaders, thousands of people gathered outside to voice their frustration with him and the uncertainty surrounding their livelihoods.

Lori Williams, a political scientist at Mount Royal University in Calgary,believes it is significant that the minister'svisit would come so soon after being sworn into cabinet.

"This clearly is signalling that Alberta is a priority, that the oil industry is a priorityand that the government wants to continue to strike that very delicate balance between energy and the environment," she said.

Industry isn't the only player watching closely to see how the government tries to strike that balance amid mountingconcern over climate change.

Duncan Kenyon, Alberta director of the Pembina Institute, a clean energy think-tank,is worried when he hears about the push to make changes to Bill C-69. He sees the legislation as key to helping businesses determine whether future projects will be viable as the world moves toward a de-carbonized economy.

"We actually may end up with stranded investments because suddenly you've approved them under a business as usual approach and it's not business as usual," he said.

Up to speed

Every cabinet minister with a new portfolio will need time to understand the file, and the oilpatch is no different.

O'Regan may have a good understanding of the offshore oil industry in Newfoundland, but the energy sector operates substantially differently in Western Canada.

He'll need to get a handle on the challenges of the natural gas sector, the CN Rail strike, methane regulationsand, of course, the Trans Mountain expansion pipeline, to name a few.

Tim McMillan, president of the Canadian Association of Petroleum Producers, said he's not expecting the new minister to be fully briefed so soon after entering the job. He said the early signals were "quite positive."

Besides this initial trip to Calgary, O'Regan said on Thursday he'll be returning to Alberta again next week in an effort to meet people in a variety of roles related to the oilpatch.

Surely he'll be given lots of reading material and more advice to ponder on those long flights back home.

"There is a time-honoured tradition of Newfoundlanders to fly back and forth from Alberta for the oil and gas sector," he said. "It's something we've done for a long time."