Maritimes & Northeast Pipeline applied to the National Energy Board for a 400-MMcf/d expansion after striking a deal with EnCana Corp to transport gas from its proposed Deep Panuke development off the Nova Scotia coast. However, the US company, one of the country’s leading independent oil explorers and producers, said recently that it no longer believed the project will start up by the 2005 target date, blaming regulatory delays. The NEB said it did not give an immediate approval to proceed because EnCana, in its deal with the pipeline company, has the right to cut the expected contract volume by as much as 200MMcf/d until July. It also cited proposals to supply gas to the Atlantic Canada market. The Board said the approval would take effect on 31 July, or sooner if Maritimes & Northeast files new engineering plans to accommodate lower gas volumes. “The condition was added in case revisions to the applied-for facilities are required as a result of proposed domestic deliveries or if EnCana exercises its one-time right to decrease its contract volumes for some other reason”, the NEB is reported to have said. The pipeline, which now carries gas from the Sable offshore energy project, is owned by Duke Energy Corp, Exxon Mobil Corp, and Emera Inc.