Canadian Imperial Makes Garden Hill Discovery

Canadian Imperial Venture Corp. has completed Drillstem Testing of its ST-2 well at Garden Hill, Newfoundland. Two Drillstem Tests (DST's) were run in open hole, with DST 1 testing a pay section in the Table Point Formation of approximately 26 meters and DST 2 combining the Table Point interval with a further pay section of approximately 8 meters in the Aguathuna Formation.

Various flow periods were conducted in the testing, including a 36 hour single point test at the end of DST 2. Light, sweet crude (average 51 degrees API) and natural gas flowed to surface at initial rates of 195 bopd (31 m(3)/d) and 1.2 million cubic feet gas/d (33 10(3)m(3)/d). No water was produced during testing and flowing pressures were steady to the end of the test. The well was not stimulated prior to testing.

"The discovery of hydrocarbons in the Table Point is a major positive change from Port au Port No. 1 which adds a new dimension to the play", said Steve Millan, CEO of Canadian Imperial Venture Corp. "In Port au Port No. 1 the Table Point was a non-reservoir tight limestone whereas in ST-2 the entire section is a porous dolomitic reservoir. This is quite significant. The absence of water in ST-2 is, again, a very positive change."

"This is a large unexplored basin on the doorstep of the largest North American market," continued Mr. Millan. "It is complex, but Canadian Imperial is discovering its secrets."