Husky Energy Holds Naming Ceremony for Sea Rose FPSO

Husky Energy says that the Floating Production, Storage and Offloading (FPSO) vessel which will produce oil from the White Rose oil field off the coast of Newfoundland and Labrador, was officially named on Friday January 9, 2004 at a ceremony in South Korea.

The vessel Sea Rose FPSO was officially named by the vessel sponsor Mrs. Heather Lau in the Samsung Heavy Industries shipyard in Busan, South Korea. The ceremony was attended by representatives from the vessel owner companies Husky Energy and Petro-Canada, Samsung Heavy Industries officials and the Canadian Ambassador to South Korea and other major contractors engaged in the White Rose project.

"This is an exciting chapter for the White Rose project," said Mr. John C.S. Lau, Husky Energy's President & Chief Executive Officer. "The Sea Rose FPSO will be an enduring symbol of oil development prospects in the Canadian offshore. As all final facility components of the FPSO come together in Marystown, Newfoundland and Labrador, we are on schedule to expect producing our first oil by late 2005 or early 2006."

The Sea Rose FPSO is undergoing final preparations for its 14,000 nautical mile journey from South Korea to Marystown, Canada where installation of the topsides and hook up and commissioning will take place. The turret and living quarters have already been installed on the vessel. The Sea Rose FPSO is scheduled to depart from South Korea by the end of January 2004 for its 55-day voyage to Canada. The vessel will sail around Cape Town, South Africa and across the Atlantic to Newfoundland and Labrador, Canada.

The Sea Rose FPSO is built on the design concepts of performance, safety and reliability required to operate on the East Coast offshore of Canada. An ice strengthened hull and a detachable mooring system have been incorporated in the design to ensure safe operations on the Grand Banks. The double hulled construction is based on a proven Samsung tanker design and has a storage capacity of 940,000 barrels of oil, which is about 10 days of production capacity. White Rose oilfield development is the third major oil field project in the Jeanne d'Arc basin, following Hibernia and Terra Nova.

The White Rose oilfield owners are Husky Energy (72.5%) and Petro-Canada (27.5%). Husky Energy is the operator. The peak production of the White Rose oilfield is expected to be 92,000 barrels per day and Husky's share of the oil production will average approximately 67,000 barrels per day.