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NLIS 2
March 31, 2000
(Mines and Energy)


The following is being distributed at the request of the Canada-Newfoundland Offshore Petroleum Board:

White Rose Review Process

The Canada-Newfoundland Offshore Petroleum Board today released information describing the process for reviewing the White Rose Development Application.

The Atlantic Accord Acts and Regulations require a company holding the development rights to an oil or gas field to submit a development plan application to the C-NOPB when the company wishes to develop these resources. Husky Oil has indicated its intention to proceed with the development of White Rose, and is in the process of preparing a development plan application which it targets for submission in July.

The development plan application must included full details on all aspects of the development, including the preferred production system. It must include as well an analysis of alternative production systems considered, in sufficient detail to allow the board to make a decision.

The project is also subject to the requirements of the Canadian Environmental Assessment Act (CEAA), which requires the submission of a project description. The project description describes Husky�s preferred production system. As the responsible authority under the CEAA, the C-NOPB will take the necessary measures to initiate an appropriate environmental assessment. By initiating this assessment, the board is in no way indicating acceptance or approval of Husky�s preferred production system. That decision will be made only after the development plan application has been submitted and considered by the board as outlined above.

The Accord Act also provides for the opportunity of full public review of the development plan application before the board makes its decision. The timing of the public review process will depend on when Husky Oil submits its development plan application. Details on how the public review will operate will be released by the C-NOPB well in advance.

Husky Oil has indicated to the board its intention to move forward in preparing for the implementation of its preferred production system. The company has been advised by the board that in doing so, it is proceeding entirely at its own risk. The acceptability or otherwise of all aspects of the proposed White Rose development, including the production system, will be determined only after the development plan application has been considered and a decision made by the C-NOPB and federal and provincial governments.

For general information regarding this news release, please contact: Fred Way, Vice-Chairman, (709) 778-1452.

2000 03 31                                                         12:05 p.m.


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