|Thursday, February 24, 2000
PanCanadian Petroleum Limited reports that it has made a potentially significant natural gas discovery offshore Nova Scotia. In the past year, PanCanadian has drilled two exploration wells into geological zones under the Panuke oil field, located about 155 miles southeast of Halifax. Each well flowed at more than 50 million cubic feet of natural gas per day during testing, the maximum capacity of the testing equipment. The wells, PP-3C and PI-1B, intersected net pay of more than 230 feet and 100 feet, respectively. "This is potentially a very significant natural gas discovery in a region that is quickly emerging as a substantial petroleum province in Canada," said David Tuer, PanCanadian's President and Chief Executive Officer. "We are very excited by these strong natural gas tests which signal the potential emergence of another East Coast natural gas project." During testing the Panuke P-3C flowed at 55 million cubic feet a day during a four-day test in April 1999 and the Panuke I-1B flowed at 52 million cubic feet a day during a six-day test in January 2000. Evaluation of this discovery will continue to determine the reserve size and commercial potential of this discovery. Two more wells are planned for later this year. PanCanadian holds a 100% working interest in this discovery.