CALGARY, ALBERTA--(Marketwire - Oct. 29, 2009) - Mr. John C.S. Lau, President & Chief Executive Officer of Husky Energy Inc. (TSX:HSE), announced today that the Company has completed and tested two exploratory wells to evaluate the shale gas potential in the Montney and Doig formations in Northeast British Columbia, Canada.
The exploration drilling results are very encouraging. The Graham b-10-D / 94-B-9 well flowed gas from the Doig formation at a rate of 2.9 million cubic feet per day. The Cypress a-31-B / 94-B-15 well flowed gas from the Montney at a rate of 5.4 million cubic feet per day and from the Doig at 2.9 million cubic feet per day.
The land position covers an area of approximately 11,500 acres close to Husky infrastructure and has all season access.
"The recoverable resource potential from these wells are substantial and among the best vertical tests from the Doig/Montney play," Mr. Lau said. "These results are encouraging for Husky to expand its strategy in unconventional resource play development in this area."
Husky plans to drill the first horizontal well on this land in 2010. The pace of development depends on well test results and the market conditions of natural gas.
Husky also announced that it has acquired an additional 12,500 net acres of land in the Doig Montney play in Northeast British Columbia, increasing Husky's total land position in this region to more than 24,000 net acres.
"The acquisition enhances Husky's position in the Doig/Montney play, which has become one of North America's most promising plays for natural gas development," Mr. Lau said.
Husky Energy is an integrated energy and energy-related company headquartered in Calgary, Alberta, Canada. Husky Energy is a publicly traded company listed on the Toronto Stock Exchange under the symbol HSE.
FORWARD LOOKING STATEMENTS
Certain statements in this document are forward-looking statements or information (collectively "forward-looking statements"), within the meaning of the applicable securities legislation. Any statements that express, or involve discussions as to, expectations, beliefs, plans, objectives, assumptions or future events or performance (often, but not always, through the use of words or phrases such as: "will likely result," "are expected to," "will continue," "is anticipated," "estimated," "intend," "plan," "projection," "could," "vision," "goals," "objective" and "outlook") are not historical facts and may be forward-looking and may involve estimates, assumptions and uncertainties which could cause actual results or outcomes to differ materially from those expressed in the forward-looking statements. In particular, the forward-looking statements in this document include: the recoverable resource potential of the Doig/Montney play, Husky's unconventional resource play strategy and the drilling schedule and development plans for the Doig/Montney play. Although Husky believes that the expectations reflected by the forward-looking statements presented in this document are reasonable, Husky's forward-looking statements have been based on assumptions and factors concerning future events that may prove to be inaccurate. Those assumptions and factors are based on information currently available to Husky about itself and the businesses in which it operates. Information used in developing forward-looking statements has been acquired from various sources including third party consultants, suppliers, regulators and other sources. Husky's Annual Information Form and other documents filed with securities regulatory authorities (accessible through the SEDAR website www.sedar.com and the EDGAR website www.sec.gov) describe the risks, material assumptions and other factors that could influence actual results and which are incorporated herein by reference. Except as required by applicable securities laws, Husky disclaims any intention or obligation to publicly update or revise any forward looking statements, whether as a result of new information, future events or otherwise.