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<\/picture><\/div>\nCanadian Prime Minister Mark Carney said on \u200bTuesday (November 10, 2026) that his government has not made a decision about lifting its \u2060decade-long moratorium on offshore oil and gas exploration in the Arctic, a move that some Northern leaders have advocated for as a way to increase the region\u2019s economic self-sufficiency.<\/p>\n
Last week\u2019s federal budget contained a reference \u200cto C$11 million ($7.79 million) in funding over four years to \u201csupport the governance and oversight of offshore oil and gas activities in the Arctic Ocean.\u201d Mr. Carney told reporters \u200cin Montreal the budget item represents \u201ccapacity funding\u201d for Inuit leadership, with whom the federal government \u200chas \u2060agreed to jointly manage natural resources in the North.<\/p>\n
\u201cIt is absolutely not, in \u2060any way, shape or form, a decision about lifting the moratorium,\u201d Mr. Carney said. \u201cIt is respectful engagement with that self-government.\u201d<\/p>\n
\u201cAny possible discussion with respect to the future of the moratorium would respect existing agreements, Inuit and territorial self-government, and uphold \u200bCanada\u2019s strong environmental standards,\u201d Canada\u2019s Minister of \u200cNorthern and Arctic Affairs Rebecca Chartrand said in an emailed statement.<\/p>\n
Mr. Carney has been seeking to grow Canada\u2019s energy sector in order to boost the country\u2019s economy in the face of U.S. tariffs. He has faced criticism from environmentalists for the dropping or easing of a \u200crange of climate regulations in pursuit of economic growth.<\/p>\n
The Toronto Star reported on \u200bMonday (November 9, 2026) that Mr. Carney\u2019s government is considering lifting the ban on oil and gas activities in the Arctic, quoting a Department of Finance official. The Finance Department \u2060referred Reuters to Crown-Indigenous Relations and Northern Affairs Canada, which did not immediately respond to a request for comment.<\/p>\n
Canada\u2019s moratorium on Arctic offshore oil and gas exploration has been in place since 2016, \u200cwhen then-Prime Minister Justin Trudeau and then-U.S. President Barack Obama agreed to impose it to protect the region\u2019s fragile marine ecosystem from the risk of oil spills.<\/p>\n
U.S. President Donald Trump later reopened parts of the Arctic to oil and gas drilling, but the Canadian moratorium remained in place. The Canadian policy, which is set to expire in 2028, is reviewed every five years.<\/p>\n
Canada\u2019s Arctic region possesses significant undeveloped oil and gas reserves, and some Northern leaders have been \u200ccalling for the area to be opened up to drilling.<\/p>\n
Nunavut Premier John Main told the National Observer media outlet \u200blast week he wants to see the territory\u2019s fossil fuel industry take off, so that Canada\u2019s north can become more economically self-sufficient.<\/p>\n
In 2023, the Northwest Territories, \u2060Yukon and Inuvialuit Regional Corporation, which represents Inuit communities in the Western Arctic, signed the Western Arctic-Tariuq \u2060Accord with the Canadian government. The accord stated that northern residents should have more say in how their resources are developed, and laid out an agreement for the \u200cmanagement, regulation, and revenue-sharing from potential fossil fuel development in the Arctic.<\/p>\n
Canada\u2019s Arctic region is an ecologically sensitive area, with its coastlines vital habitat for fish, migratory birds, marine mammals and \u200bpolar bears.<\/p>\n<\/div>\n