Imperial Oil to Conclude Norman Wells Operations in Late 2026

Imperial Oil has announced its decision to conclude operations at the Norman Wells facility, with a planned cessation in the third quarter of 2026. This development marks a significant change for the Sahtu region, where the facility has been pivotal to the local economy.

Overview of the Norman Wells Operations

The Norman Wells facility is situated in the Northwest Territories and has been operational for over a century. Currently, it employs around 80 individuals daily and is recognized as a vital economic contributor to the town of Norman Wells, which has a population of approximately 750 residents. The town was established in the 1920s, primarily due to non-renewable resource development, spearheaded by Imperial Oil’s first refinery.

Impact of Closure on the Community

• Imperial Oil’s closure is expected to have profound repercussions on the local economy.
• The company contributes roughly $6 million annually in property taxes, making up around 70% of the town’s budget.
• Local officials are expressing concerns about the future prospects for residents in this predominantly single-industry community.

Local MLA Danny McNeely described the announcement as “shocking,” highlighting that the fallout will be significantly felt throughout the Sahtu region. The Northwest Territories Premier, RJ Simpson, emphasized the importance of providing support for affected residents and collaborating with various stakeholders to navigate the transition.

Future Plans and Economic Considerations

Despite the scheduled closure, Imperial indicated that there would be no immediate disruptions to the wholesale fuel supply for the community. The company is also involved in multiple regulatory processes concerning the infrastructure associated with its operations.

Imperial Oil has signaled its commitment to work with local communities on future reclamation plans. The final reclamation work, however, is not anticipated to begin until post-2030, pending necessary approvals and assessments.

Financial Implications of the Decision

The company’s announcement coincided with the release of its fourth-quarter financial results for 2025, revealing a net profit of US $492 million. This figure represents a decrease from the US $1.2 billion profit reported during the same quarter in 2024. The decision to end operations in Norman Wells has led to a $320 million after-tax charge against its earnings.

Government Response and Future Initiatives

Government officials are focusing on creating a stable economic environment for the residents of Norman Wells and surrounding areas. Premier Simpson is actively promoting the development of the Mackenzie Valley Highway, which could provide significant opportunities for the region.

Crown-Indigenous Relations Minister Rebecca Alty pledged to work closely with community leaders and government representatives to address the challenges posed by the closure and to support affected workers.

This strategic shift in Imperial Oil’s operations in Norman Wells embodies a larger trend of change within the region, impacting the economy and livelihoods of its residents as they move towards a future requiring adaptability and resilience.