Province Receives Another $27.5 Million from Sale of NSRL

N.S. RESOURCES LTD.--Province Receives Another $27.5 Million from Sale of NSRL

The Province of Nova Scotia has received an additional $27.5 million from the sale of another portion of the remaining assets of Nova Scotia Resources Limited (NSRL), a Crown agency.

The sale to Pengrowth Energy Trust of Alberta was announced today by Steve Parker, chair of the NSRL board of directors.

"The purchase of this package of NSRL petroleum and natural gas rights and other assets by Pengrowth means that the total now realized from the sale of NSRL is $399.5 million," said Mr. Parker.

As part of the sale agreement, NSRL receives an interest in the revenues of a British Columbia petroleum-producing property. The transaction also releases Pengrowth from a backstop agreement for the purchase of the shares of NSRL.

This latest transaction with Pengrowth means that 95 per cent of the assets of NSRL have been sold. The remaining assets include several Significant Discovery Licences and NSRL's interest in platform jackets associated with the Cohasset-Panuke oil project.

"I am optimistic that the sale of the remaining assets will be successfully completed," said Mr. Parker. "Other potential buyers are interested and we will do our utmost to get the best return that we can for the province."

The lion's share of NSRL's assets -- the agency's stake in the Sable Offshore Energy Project -- was sold to Emera Incorporated last fall for $372 million.