Husky updates White Rose

Offshore staff

ST. JOHN'S, Newfoundland and Labrador -- Husky Energy Inc. reports that the SeaRose FPSO has completed its scheduled maintenance turnaround at the White Rose oil field, 350 km (217 mi) southeast of St. John's, Newfoundland, Canada.

The 16-day maintenance turnaround included tank cleaning and inspections, and the replacement of the flare tip. The work was completed on schedule and without a lost time accident when the facility restarted on Wednesday, July 18, Husky says.

The White Rose oil field received full government and regulatory approval to increase production to 50 MMbbl of oil per year, with a daily maximum production of 140,000 bbl. Allowing for the downtime associated with maintenance, regulatory inspections, drilling rig movements, and well tie-in activities, the White Rose field is expected to produce 120,000-125,000 b/d on an annualized average basis, Husky says.

"The White Rose oil field is currently producing approximately 135,000 b/d. The timely completion of the seventh production well and the scheduled maintenance turnaround brings reservoir capacity and production at the White Rose oil field to 140,000 b/d," says John C. S. Lau, president and CEO

The E-18 8 well is the final production well planned as part of the field's initial 18-well development program. With the completion of a water injection well and a gas injection well later this year, Husky will conclude the base development plan for the South Avalon pool in the Jeanne d'Arc basin.

Husky has submitted an application, currently undergoing regulatory review, to tie in production from the South White Rose Extension field. Husky continues to evaluate opportunities to develop newly discovered resources from the West White Rose and North Amethyst fields, and is progressing applications with the Canada-Newfoundland and Labrador Offshore Petroleum Board to develop these recent discoveries as satellite tiebacks to the White Rose oil field, the company says.

"A project team to support the White Rose oil field tieback project has been established in St. John's, Newfoundland and Labrador, and front-end engineering and design is progressing concurrently with the regulatory and government review process," Lau says. "Regulatory approval to tie in production from the White Rose satellite fields will extend the production plateau and production life of the White Rose oil field."

Husky Energy operates White Rose with 72.5% working interest. Petro-Canada holds the remaining 27.5%.

7/24/2007

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