Mr. Hal Stanley, Chairman and CEO of the Canada-Newfoundland Offshore Petroleum Board announced today that the Board has made a significant discovery declaration based on the results of the Amoco et al West Bonne Bay C-23 well, which terminated in January, 1998 on Exploration Licence 1022.

Amoco Canada Petroleum Company Ltd. and its partners Amoco Canada Trading Company Ltd., Petro-Canada and Norsk Hydro Canada Oil and Gas Inc. had applied to the Board in April 1998 to have a significant discovery declared based on the results of its West Bonne Bay C-23 well. A significant discovery is one which by flow testing the well, demonstrates the existence of hydrocarbons in a geological feature and having regard to other geological and engineering factors, suggests an accumulation of hydrocarbons that has the potential for sustained production.

The West Bonne Bay significant discovery area is included within the lands held under EL 1022 and is described as sections 1, 2, 11, 12, 21, 22, 23, 31 and 32 as contained in the grid area whose N.E. grid co-ordinates are 46°40’N, 48°15’W (refer to the attached land plat). This declaration of significant discovery now enables Amoco to apply for a significant discovery licence respecting such area.

Any information obtained as a result of drilling the West Bonne Bay C-23 well, will remain privileged for two years following its termination and cannot be released by the Board without Amoco’s consent.

Land Plat

West Bonne Bay

For general information regarding this news release, please contact:

D. Angus Taylor
Manager, Legal and Land
Tel: (709) 778-1458

R. Paul Barnes
Analyst, Legal and Land
Tel: (709) 778-1440