Minister approves development plan for Garden Hill

Mines and Energy Minister Lloyd Matthews announced today his approval of Canadian Imperial Venture Corp.�s (CIVC) Development Plan for the Garden Hill oil and gas project (exploration permit # 93-102). Guided by the conditions as set out in the Petroleum Regulations, the minister approved Stage 1 of the development plan subject to nine terms and conditions.

The approved plan allows for a staged development approach at the Garden Hill site. Stage 1 involves production from the discovery well plus a possible sidetrack well which is currently being drilled from the discovery well. Production from the two wells will be processed using the equipment currently located on the site. The oil is to be transported by truck to market, natural gas not required for the site�s energy requirements will be flared, and produced water will be transported by truck for processing and disposal.

"Since farming in on the project, Canadian Imperial Venture Corp. has completed significant activity on the site. They continue to make strides towards proving up the reserves and discovering additional resources," said Matthews. "The approval of the development plan will allow the company to complete the necessary advanced exploration of the area."

The owners of the permit may now apply to the Department of Mines and Energy for a lease which grants the lessee the exclusive right to produce petroleum from the lease area and to use and market petroleum from the lease area.

The Garden Hill oil and gas field was discovered in 1995 by Hunt Oil and its partner PanCanadian. In September 1999, CIVC farmed into the project and have continued to conduct exploration on the site. The Minister of Mines and Energy received the development plan on June 18, 2001. In accordance with the province�s Environmental Assessment Act, 2000, CIVC registered the development project with the Department of Environment in August 2001. The Development Plan Application was released from further environmental assessment on October 18, 2001.

Media contact: Tara Laing, Mines and Energy, (709) 729-4890.

2001 11 15                           10:00 a.m.