Overall exploration costs of about $415 million in Western Canada during 1966 were at an all-time high, up $21 million from 1965. Expenditure increases in wildcat drilling (up $20 million) and geophysical work (up $21 million) were partly offset by a decrease in land purchases (down $31 million). Surface mapping continued to decline sharply. Most of the exploratory interest and significant discoveries were in dolomite of the Middle Devonian Muskeg and Keg River Formations of northwestern Alberta.

Other highlights of 1966 were: (1) a sharp rise in land acquisitions, particularly in the Territories and Arctic Islands; (2) a continuing production increase--up 6-9% in all sectors (liquids, gas, and sulfur) of the industry; (3) authorization by the Federal Power Commission of additional gas imports into northern California and Montana. Alberta and Southern was granted export permits of 100 MMcf. per day commencing November 1, 1966, and an equal additional amount to commence November 1, 1967. At that time, total average deliveries will be 615 MMcf. per day. West coast Transmission was granted a temporary export permit of 100 MMcf. per day commencing November 1, 1966, and the National Energy Board was considering Westcoast's application for a permanent amount of 200 MMcf. per day (ov r a 25-year period), which would increase total deliveries to El Paso in 1967 to 500 MMcf. per day. Pending at year end was Federal Power Commission approval of the Trans-Canada "Great Lakes" pipeline project, which essentially involves transportation of Canadian gas through the United States for re-delivery into Eastern Canada.

Comparisons below are with 1965:

Table