Momentum Building on Offshore Exploration

PREMIER'S OFFICE Momentum Building on Offshore Exploration

Premier John Hamm told a news conference in Houston today that the East Coast of Canada is becoming one of the "brightest spots for new oil and gas development in the world."

"We believe the traditional views of Nova Scotia reserves are very conservative and will soon be revised as new exploration results start coming in," said the premier.

Reporters from around the world attended the Houston Offshore Trade Show news conference.

Premier Hamm gave an overview of recent developments in the Nova Scotia offshore, including: the near-completion of the first phase of the Sable Offshore Energy Project; the new discovery of gas at Deep Panuke by PanCanadian; and the extensive seismic and exploration plans by major petroleum companies over the next few years.

"I am confident that this activity will lead to new discoveries and new projects. When combined with Newfoundland's recent announcement about increased estimates to the north, the East Coast of Canada is capturing major international attention", said Premier Hamm.

The premier also noted that PanCanadian will be drilling another well on its Deep Panuke structure around the middle of May. Depending upon the results from this well, the company is looking at commercial production within three years.

"Let me say here, if PanCanadian is prepared to meet that kind of ambitious production schedule, so are we," said the premier. "My government is committed to a careful, but streamlined regulatory process. We are prepared to support the same kind of joint-panel approval process we did for the Sable Project."

NOTE TO EDITORS: The text of Premier John Hamm's presentation to the news conference is available; please e-mail [email protected] for a copy.