Husky looks for new rig

Offshore staff

Husky Energy Inc. is laying plans for exploration and delineation drilling in the Grand Banks offshore Newfoundland and Labrador. The company is planning to issue an invitation to bid to selected contractors in the international rig market with the intention of contracting a mobile offshore drilling unit.

Rig specifications will be geared toward the Grand Banks area, with water depths between 100 and 220 m. Current plans indicate a commitment to a four-well firm drilling program, with a further two- to four-well option term, and consideration toward year-round development drilling.

Based on current estimates, the earliest date for operations to begin would be June 2006.

05/17/05