Canada-Newfoundland Offshore Petroleum Board

NLIS 2
November 23, 2004
(Natural Resources)

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

2004 land sale results

The Canada-Newfoundland Offshore Petroleum Board today announced the results of the 2004 Call for Bids for exploration rights in the Newfoundland and Labrador offshore area that closed on November 17, 2004. Bids were received on five of the five parcels offered. All the bid parcels are located in the Jeanne d�Arc Basin (see Land Plat).

The bids represent the expenditures that the bidders commit to make in exploring the parcels during the initial five-year period of a nine-year term exploration licence.

The following bids have been conditionally accepted:

Parcel 1 (91 107 ha) Husky Oil Operations Limited* Petro-Canada	50% 50%	$ 28,000,000
Parcel 2 (52 125 ha) Husky Oil Operations Limited*	100%	$ 18,000,000
Parcel 3 (84 270 ha) Husky Oil Operations Limited*	100%	$ 1,000,560
Parcel 4 (35 674 ha) Petro-Canada* Norsk Hydro	50% 50%	$ 16,000,000
Parcel 5 (7,080 ha) ExxonMobil Canada Properties* Chevron Canada Resources Petro-Canada Hibernia Partnership Canada Hibernia Holding Corporation Murphy Atlantic Offshore Oil Company Ltd. ExxonMobil Canada Hibernia Company Ltd. Norsk Hydro Canada Oil & Gas Inc.	28.125% 26.875% 20.00% 8.5% 6.5% 5.0% 5.0%	$ 8,125,500
* refers to representative	Total	$ 71,126,060

Subject to ministerial approval and the bidders satisfying the requirements specified in the Call for Bids, the board will issue an exploration licence for each of the five parcels in January 2005. The licences will be for a term of nine years, with an initial period of five years.

For further information, please contact:

Source: Susan E. Gover, Legal Counsel, (709) 778-1408
Media contact: Simone Keough, Manager, Communications, (709) 778-1418 or (709) 687-7429

2004 11 23 12:00 p.m.

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