Offshore Work Commitments Top a Billion

The latest round of Nova Scotia offshore exploration bids has pushed total commitments over the $1 billion mark. The Canada- Nova Scotia Offshore Petroleum Board today announced $192 million in new work commitments. Previous work commitments offshore Nova Scotia totaled $842 million.

Gordon Balser, Minister of the Nova Scotia Petroleum Directorate, said national and international interest in Nova Scotia's offshore is intense and growing every day.

"The latest round brings two very significant new players to our offshore," said Balser. "British Petroleum is a world leader in offshore exploration and development. Their partner in the Nova Scotia bid is a leading American independent oil and gas company, Anadarko." Together, the two companies are expected to spend nearly $100 million in exploration on one parcel of land.

"We are also pleased that another major independent oil and gas company, Kerr McGee, is bolstering its Nova Scotia commitments by more than $60 million over three parcels," said the minister. Kerr-McGee is the operator and partner on four other blocks of land offshore Nova Scotia offered in earlier rounds.

Rounding out the bids on the eight blocks announced today are bids by a new energy company, Canadian Superior Energy, with nearly $28 million in commitments on two blocks, and Richland Minerals, with commitments of more than $5 million on two blocks. Richland already holds licences on three other blocks of land.

Details of the work commitments can be found in a news release from the Canada-Nova Scotia Offshore Petroleum Board at www.cnsopb.ns.ca .

The process of issuing exploration licences on the blocks is expected to be completed later this year. Following licence approvals, the licence holder must then obtain specific approvals for each activity from the CNSOPB.