Canadian Superior Energy Inc. plans a major East Coast drillinginitiative offshore Nova Scotia on the company’s Marquis Prospectby September. The prospect is located about 12.5 miles northwest ofSable Island, and is analogous to PanCanadian Petroleum Ltd.’srecent 2 Tcf Abenaki Reef discovery there.

The multi-well drilling program would be conducted over 18months in Canadian Superior’s shallow water properties, all about100 meters deep. The prospects are close to a newly constructedpipeline that connects 500 MMcf/d of Sable Island natural gas toNew England natural gas markets.

President Greg Noval said that following regulatory approval,the Calgary-based company would drill and operate a 4,500 meter(14,760 feet) deep Abenaki Reef test well that would costapproximately C$24 million. Gerold Fong, the company’s East Coastexploration manager, said that the Marquis Prospect is “directly ontrend to the PanCanadian discovery and is of equal if not greaterpotential based upon Canadian Superior’s interpretation ofextensive seismic and geological data.”

Jacques Whitford Group Ltd. of Halifax has been awarded theengineering contract, and Canadian Superior said that the drillingrig contract is being finalized.

According to research released this week by the Ziff EnergyGroup, the area to be prospected has a “high drilling success rateof over 30%.” Ziff noted that the basin has an “excellent fiscalregime” and is in “close proximity to some of the largest naturalgas markets in the world.”

Earlier this week, Canadian Superior announced new discoveriesin the Bison Lake and Giroux Lake areas of North Central Albertaand is now in the process of completing a six-well winter drillingand recompletion program on its 100% owned 14,000 acre Bison Lakeproperty. The company holds a 25% interest in the Giroux Lakediscovery well. Initially, it expects to produce approximately 5MMcf/d from the area when tie-ins are completed.

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