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December 22, 1998
(Mines and Energy)


Minister supports C-NOPB's decision to restrict Hibernia oil production

Roger Grimes, Minister of Mines and Energy, says he fully supports the action taken by the C-NOPB to restrict the volumes of gas being flared from the Hibernia platform. The only means of achieving these reductions, in the absence of sustained gas injection back into the reservoir, is through restrictions on the amount of oil produced.

"While I understand the impact this decision has on HMDC and its owner companies, I am confident that this will be a temporary measure as HMDC is expected to have a second gas injection well available in January 1999", said Mr. Grimes. Gas injection will assist in pressure maintenance of the oil reservoir, enhance oil recovery, reduce emissions, and conserve the gas for future use.

The minister stated that it is important that Hibernia natural gas resources be conserved until such time as they can be commercially produced.

Media contact: Carl Cooper (709) 729-2920.

1998 12 22 2:05 p.m.


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