Husky Confirms Additional Resources at White Rose

Husky Energy has announced the discovery of additional oil resources in the White Rose area.

Drilled by Transocean's Henry Goodrich semisub in the fall of 2008, the North Amethyst E-17 well was drilled to delineate the Ben Nevis Avalon Formation (the producing formation at White Rose) and to explore the potential of a second, deeper horizon called the Hibernia Formation. The Hibernia Formation encountered 55 meters (net) of high quality, oil-bearing reservoir containing an estimate of discovered PIIP (Petroleum-Initially-In-Place) of 30 to 85 million barrels (best estimates of 60 million barrels) of light crude oil. Initial studies indicate that these resources could be developed from the recently installed satellite infrastructure at North Amethyst.

The Hibernia Formation resources are in addition to those discovered in the main White Rose pool in the 1980s where oil flowed from the Hibernia Formation in the E-09 well. New analysis of the well data is very encouraging. The E-09 discovery contains an estimate of discovered PIIP of 100 to 250 million barrels (best estimate of 170 million barrels) of light crude oil. These resources will continue to be evaluated and appraised by additional drilling prior to finalization of development options.

"These results are very exciting and suggest that significant additional potential exists within the White Rose area," John C. S. Lau, president and chief executive officer, said. "This potential will be further evaluated in our ongoing program of development drilling and near field exploration in the Jeanne D'Arc Basin."

Lau added, "to compliment this strategy, Husky and its partner have been successful in acquiring the NL09-1 parcel of land in the CNLOPB 2009 land sale. This parcel is adjacent to Husky's existing land holdings in the North Amethyst area, and will allow Husky to expedite its assessment of the potential of the Hibernia formation in the region."

Husky Energy is the operator of the White Rose oil field, and holds a 72.5 percent working interest while Suncor Energy holds the remaining 27.5 percent working interest. Husky Energy holds a 68.875 percent working interest in the North Amethyst satellite field with Suncor's working interest at 26.125 percent and Nalcor Energy's working interest at 5 percent.