NLIS 1
May 2, 2000
(Mines and Energy)

Today the Canada-Newfoundland Offshore Petroleum Board issued revised estimates of our offshore petroleum reserves and discovered resources. These revised estimates are very positive and, in absence of the Minister of Mines and Energy, I wish to share the board's estimates with all Honorable Members.

Significant additional drilling has occurred in the Jeanne d'Arc Basin since the C-NOPB last updated its resource estimates and include:

• 14 development wells at Hibernia since 1997;
• a new oil discovery at West Bonne Bay in 1998;
• three successful delineation wells drilled at White Rose in 1999; and
• two delineation wells drilled on the Hebron-Ben Nevis Complex in 1999.

Following a comprehensive review, the C-NOPB advises that the total estimated oil and gas reserves and discovered resources in the offshore area have increased substantially as follows:

• The total discovered oil resources and reserves estimate has gone from 1.6 to two billion barrels;
• The total discovered natural gas resource estimate has gone from 8.2 to 9.3 trillion cubic feet; and
• The total discovered natural gas liquids estimate has gone from 360 to 413 million barrels.

Some 526 million barrels of additional recoverable oil; just over one trillion cubic feet of natural gas and 53 million barrels of natural gas liquids has been added to the Newfoundland and Labrador petroleum reserves and resources inventory.

The revised C-NOPB estimates reflect changes in three major fields as follows:

Hibernia:	Oil: Gas: Gas liquids:	884 million barrels (from 666) Gas: 1.4 trillion cubic feet (from 1.0) 145 million barrels (from 111)
White Rose:	Oil: Gas: Gas liquids:	275 million barrels (from 178) 2.1 trillion cubic feet (from 1.5) 77 million barrels (from 58)
Hebron	Oil:	325 million barrels (from 195)

These upward revisions are very significant and serve to cement Newfoundland and Labrador's position as a major player in the international oil and gas industry.

2000 05 02                                     2:15 p.m.