Report released on Grand Banks geology and petroleum potential

Ed Byrne, Minister of Natural Resources, today released a new geological report relating to the oil and gas potential of the Grand Banks. The report also contains a section dealing specifically with the petroleum potential of five land parcels being offered in the Call for Bids issued by the Canada-Newfoundland Offshore Petroleum Board (C-NOPB). The Call for Bids closes November 17.

"This report provides important information on our offshore oil and gas potential," said Minister Byrne. "One of the key roles of government is to encourage higher levels of exploration by informing new players about the significant resource potential of our province. We believe the information contained in this report on the individual land sale parcels will foster greater interest in the latest Call for Bids. This report can also be used more generally as a support for long-term exploration of our offshore area."

The Department of Natural Resources periodically prepares technical reports for publication to promote the exploration and development opportunities within the petroleum sector. One of its more recent publications related the hydrocarbon potential of land parcels in the Orphan Basin that were being offered in the C-NOPB�s 2003 Call for Bids. That land sale resulted in record bids totaling $673 million for eight parcels.

"We encourage oil and gas companies around the world to take a look at this and other reports which we have prepared and to make note of the tremendous potential for new oil and gas discoveries in our offshore and onshore areas," added Minister Byrne.

The report can be accessed at: //www.gov.nl.ca/mines&en/oil/call_for_bids_nf04_01.stm

Media contact: Carmel Turpin (709) 729-5282 or (709) 685-4624

2004 09 29                   11:50 a.m.